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                                                              EXHIBIT 10(iii)(j)

                      1999 LONG-TERM STOCK INCENTIVE PLAN

Article I - GENERAL PROVISIONS

1.1 Purposes
The purposes of the 1999 Long-Term Incentive Plan (the "Plan") are to advance
the long-term success of Armstrong World Industries, Inc. (the "Company"), and
to increase shareholder value by providing long-term incentive awards to
officers, directors and key employees. The Plan is designed to: (i) encourage
stock ownership by Participants to further align their interest in increasing
the value of the Company; and (ii) to assist in the attraction and retention of
key employees vital to the Company's success.

1.2 Definitions
For the purpose of the Plan, the following terms shall have the meanings
indicated:
(a)  "Board" means the Board of Directors of the Company.
(b)  "Cash Incentive Awards" means a right to receive a cash payment pursuant to
any award made pursuant to Article VI hereof.
(c)  "Change in Control" means a situation where: (i) any person acquires
beneficial ownership of 28 percent or more of the then outstanding voting stock
of the Company and within five years thereafter disinterested directors no
longer constitute at least a majority of the Board; or (ii) a business
combination with an interested shareholder occurs which has not been approved by
a majority of disinterested directors. The terms person, beneficial ownership,
voting stock, disinterested director, business combination, and interested
shareholder are defined in Article 7 of the Company's Articles of Incorporation.
(d)  "Code" means the Internal Revenue Code of 1986, as amended, including any
successor law thereto.
(e)  "Committee" means the Management Development and Compensation Committee of
the Board or the full Board, as the case may be.
(f)  "Common Stock" means the Common Stock of the Company, par value $1.00 per
share.
(g)  "Company" means Armstrong World Industries, Inc., and solely for purposes
of determining (i) eligibility for participation in the Plan; (ii) employment;
and (iii) the establishment of performance goals, shall include any corporation,
partnership, or other organization of which Armstrong owns or controls, directly
or indirectly, not less than 50 percent of the total combined voting power of
all classes of stock or other equity interests. For purposes of this Plan, the
terms "Armstrong" and "Company" shall include any successor to Armstrong World
Industries, Inc.
(h)  "Disability" means total and permanent disability within the meaning of
Section 22(e)(3) of the Code.
(i)  "Dividend Equivalent" means an amount equal to the cash dividend paid on
one share of Common Stock for each Performance Restricted Share granted during
the Performance Period. All Dividend Equivalents will be reinvested in
Performance Restricted Shares at a purchase price equal to the Fair Market Value
on the dividend date.
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(j)  "Employee or employment" means with respect to any nonemployee director (as
defined herein) service on the Board.
(k)  "Fair Market Value" means the closing price of the Common Stock as reported
on the New York Stock Exchange Composite Transactions reporting system on the
applicable date or, if no sales were made on such date, on the next preceding
date on which sales of the Common Stock were made.
(l)  "Incentive Stock Option" means a Stock Option which meets the definition
under Section 422 of the Code.
(m)  "Nonstatutory Stock Option" means a Stock Option which does not meet the
definition of an Incentive Stock Option.
(n)  "Participant" means any officer, director or key employee who has met the
eligibility requirements set forth in Section 1.6 hereof and to whom a grant has
been made and is outstanding under the Plan.
(o)  "Performance Measures" shall mean the Performance Measures described in
Section 4.4 of the Plan.
(p)  "Performance Period" means, in relation to Performance Restricted Shares or
Cash Incentive Awards, any period for which performance goals have been
established.
(q)  "Performance Restricted Share" means a right granted to a Participant
pursuant to Article IV.
(r)  "Restricted Stock Award" means an award of Common Stock granted to a
Participant pursuant to Article V which is subject to a Restriction Period.
(s)  "Restriction Period" means (i) in relation to Performance Restricted
Shares, the period of time, beginning at the end of the Performance Period,
during which the Participant shall not be permitted to sell, assign, transfer,
pledge, or otherwise dispose of such shares; and (ii) in relation to Restricted
Stock Awards, the period of time during which such shares are subject to
forfeiture pursuant to the Plan and such shares are subject to the restrictions
on transferability described in (i) of this paragraph.
(t)  "Retirement" means termination from employment with the Company after the
Participant has attained age 55 and has completed five years of service with the
Company or termination of employment under circumstances which the Committee
deems equivalent to retirement.
(u)  "Stock Appreciation Right" means a right granted to a Participant pursuant
to Article III to surrender to the Company all or any portion of the related
Stock Option and to receive in shares of Common Stock an amount equal to the
excess of the Fair Market Value over the option price on the date of such
exercise.
(v)  "Stock Award" means an award of Common Stock granted to a Participant
pursuant to Article V which is not subject to a Restriction Period or a
Vesting Period.
(w)  "Stock Option" means a right granted to a Participant pursuant to Article
II, to purchase, before a specified date and at a specified price, a specified
number of shares of Common Stock.
(x)  "Vesting Period" means the period of time, beginning at the end of the
Performance Period, during which Performance Restricted Shares are subject to
forfeiture pursuant to the Plan.
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1.3 Administration
The Plan shall be administered by the Committee; provided, however, that the
Board shall administer the Plan as it relates to the terms, conditions and grant
of awards to nonemployee directors. A majority of the Committee shall constitute
a quorum, and the acts of a majority of the members present at any meeting at
which a quorum is present, or acts approved in writing by a majority of the
Committee, shall be deemed the acts of the Committee. Subject to the provisions
of the Plan and to directions by the Board, the Committee is authorized to
interpret the Plan, to adopt administrative rules, regulations, and guidelines
for the Plan, and to impose such terms, conditions, and restrictions on grants
as it deems appropriate. The Committee, in its discretion, may allow certain
optionees holding unexercised Incentive Stock Options to convert such options to
Nonstatutory Stock Options. The Committee may, with respect to Participants who
are not subject to Section 16 (b) of the Exchange Act or "covered employees"
within the meaning of Section 162(m) of the Code ("Section 162(m)"), delegate
such of its powers and authority under the Plan as it deems appropriate to
designated officers or employees of the Company. All determinations by the
Committee shall be final and binding.

1.4 Types of Grants Under the Plan
Grants under the Plan may be in the form of any one or more of the following:
(a)  Nonstatutory Stock Options;
(b)  Incentive Stock Options;
(c)  Stock Appreciation Rights;
(d)  Performance Restricted Shares;
(e)  Restricted Stock Awards;
(f)  Stock Awards;
(g)  Cash Incentive Awards.

1.5 Shares Subject to the Plan and Individual Award Limitation
(a)  A maximum of 3,250,000 shares of Common Stock may be issued under the Plan
provided, however, that no more than 300,000 shares may be granted in the form
of Performance Restricted Shares, Restricted Stock Awards and Stock Awards. The
total number of shares authorized is subject to adjustment as provided in
Section 8.1 hereof. Shares of Common Stock issued under the Plan may be treasury
shares or authorized but unissued shares. No fractional shares shall be issued
under the Plan.
(b)  If any Stock Option granted under the Plan expires or terminates, the
underlying shares of Common Stock may again be made available for the purposes
of the Plan. Any shares of Common Stock that have been granted as Restricted
Stock Awards, or that have been reserved for distribution in payment for
Performance Restricted Shares but are later forfeited or for any other reason
are not payable under the Plan, may again be made available for the purposes of
the Plan. Furthermore, shares of Common Stock that are tendered in payment of
the exercise price of any Stock Option or tendered or withheld in satisfaction
of tax withholding obligations arising from any award shall be available for
issuance under the Plan.
(c)  In addition to the shares of Common Stock authorized under Sections 1.5(a)
and 1.5(b), shares of Common Stock that are (i) forfeited under the Company's
1993 Long-
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Term Stock Incentive Plan (the "Prior Plan") or for any other reason not paid
under the Prior Plan; or (ii) tendered in payment of the exercise price of a
stock option granted under the Prior Plan or tendered or withheld in
satisfaction of tax withholding obligations arising from awards under the Prior
Plan, shall be available for issuance under the Plan.
(d)  The aggregate maximum number of shares of Common Stock that may be granted
to any Participant in the form of Stock Options, Stock Appreciation Rights,
Performance Restricted Shares, Restricted Stock Awards and Stock Awards in any
one calendar year is 400,000.

1.6 Eligibility and Participation
Participation in the Plan shall be limited to officers, who may also be members
of the Board, other key employees of the Company and directors who are not
employees of the Company ("nonemployee directors").

ARTICLE II - STOCK OPTIONS

2.1 Grant of Stock Options
The Committee may from time to time, subject to the provisions of the Plan,
grant Stock Options to such Participants. The Committee shall determine the
number of shares of Common Stock to be covered by each Stock Option and shall
have the authority to grant Incentive Stock Options, Nonstatutory Stock Options
or a combination thereof. Furthermore, the Committee may grant a Stock
Appreciation Right in connection with a Stock Option, as provided in Article
III.

2.2 Incentive Stock Option Exercise Limitations
The aggregate Fair Market Value (determined at the time an Incentive Stock
Option is granted) of the shares of Common Stock with respect to which an
Incentive Stock Option is exercisable for the first time by a Participant during
any calendar year (under all plans of the Company) shall not exceed $100,000 or
such other limit as may be established from time to time under the Code.

2.3 Option Documentation
Each Stock Option shall be evidenced by a written Stock Option agreement between
the Company and the Participant to whom such option is granted, specifying the
number of shares of Common Stock that may be acquired by its exercise and
containing such terms and conditions consistent with the Plan as the Committee
shall determine.

2.4 Exercise Price
The price at which each share covered by a Stock Option may be acquired shall be
determined by the Committee at the time the option is granted and shall not be
less than the Fair Market Value of the underlying shares of Common Stock on the
day the Stock Option is granted. The exercise price will be subject to
adjustment in accordance with the provisions of Section 8.1 of the Plan.
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2.5 Exercise of Stock Options
(a)  Exercisability. Stock Options shall become exercisable at such times and
upon the satisfaction of such conditions and in such installments as the
Committee may provide at the time of grant.
(b)  Option Period. For each Stock Option granted, the Committee shall specify
the period during which the Stock Option may be exercised, provided that no
Stock Option shall be exercisable after the expiration of ten years from the
date the option was granted.
(c)  Exercise in the Event of Termination of Employment.
     (i)   Death: Unless otherwise provided by the Committee at the time of
grant, in the event of death of the Participant, the option must be exercised by
the Participant's estate or beneficiaries prior to its expiration. Each option
may be exercised as to all or any portion thereof regardless of whether or not
fully exercisable under the terms of the grant.
     (ii)  Disability: Unless otherwise provided by the Committee at the time of
grant, in the event of the Disability of the Participant, the option must be
exercised prior to its expiration. An unexercised Incentive Stock Option will
cease to be treated as such and will become a Nonstatutory Stock Option twelve
months following the date of termination due to Disability. Each option may be
exercised as to all or any portion thereof regardless of whether or not fully
exercisable under the terms of the grant.
     (iii) Retirement: Unless otherwise provided by the Committee at the time
of grant, in the event of the Retirement of the Participant, the option must be
exercised prior to its expiration. An unexercised Incentive Stock Option will
cease to be treated as such and will become a Nonstatutory Stock Option three
months following the date of Retirement.
     (iv)  Other Terminations: Unless otherwise provided by the Committee at the
time of grant, in the event a Participant ceases to be an employee of the
Company for any reason other than death, Disability, or Retirement, options
which are exercisable on the date of termination must be exercised within three
months after termination. All options which are not exercisable on the date of
termination shall be canceled.
     (v)   Extension of Exercise Period: Notwithstanding all other provisions
under Section 2.5(c) in the event a Participant's employment is terminated, the
Committee may, in its sole discretion, extend the post termination period during
which the option may be exercised, provided however that such period may not
extend beyond the original option period.
(d)  Exercise in the Event of Change in Control. In the event of any Change in
Control, all Stock Options shall immediately become exercisable without regard
to the exercise period set forth in 2.5(a).

2.6 Method of Exercise
The option may be exercised, in whole or in part, from time to time by written
request received by the Treasurer of the Company. The option price of each share
acquired pursuant to an option shall be paid in full at the time of each
exercise of the option either (i) in cash; (ii) by delivering to the Company a
notice of exercise with an irrevocable direction to a broker-dealer registered
under the Securities Exchange Act of 1934 to sell a sufficient portion of the
shares of Common Stock underlying such option having an aggregate Fair Market
Value equal to the option price of the shares being acquired; or (iii)
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by delivering to the Company shares of Common Stock or any combination of shares
and cash having an aggregate Fair Market Value equal to the option price of the
shares being acquired. However, shares of Common Stock previously acquired by
the Participant under the Plan or any other incentive plan of the Company shall
not be utilized for purposes of payment upon the exercise of an option unless
those shares have been owned by the Participant for a six-month period or such
longer period as the Committee may determine.

ARTICLE III - STOCK APPRECIATION RIGHTS

3.1 Grant of Stock Appreciation Rights
The Committee may, in its discretion, grant Stock Appreciation Rights in
connection with all or any part of an option granted under the Plan. Any Stock
Appreciation Right granted in connection with an option shall be governed by the
terms of the Stock Option agreement and the Plan.

3.2 Exercise of Stock Appreciation Rights
Stock Appreciation Rights shall become exercisable under the Stock Option terms
set forth in Section 2.5 but shall be exercisable only when the Fair Market
Value of the shares subject thereto exceeds the option price of the related
option.

3.3 Method of Exercise
(a)  Stock Appreciation Rights shall permit the Participant, upon exercise of
such rights, to surrender the related option, or any portion thereof, and to
receive, without payment to the Company (except for applicable withholding
taxes), an amount equal to the excess of the Fair Market Value over the option
price. Such amount shall be paid in shares of Common Stock valued at Fair Market
Value on the date of exercise.
(b)  Upon the exercise of a Stock Appreciation Right and surrender of the
related option, or any portion thereof, such option, to the extent surrendered,
shall be terminated, and the shares covered by the option so surrendered shall
no longer be available for purposes of the Plan.

ARTICLE IV - PERFORMANCE RESTRICTED SHARES

4.1 Grant of Performance Restricted Shares
The Committee may from time to time grant Performance Restricted Shares to
Participants under which payment may be made in shares of Common Stock if the
performance of the Company meets certain goals established by the Committee.
Such Performance Restricted Shares shall be subject to the provisions of the
Plan terms and conditions, and, if earned, a Vesting Period and a Restriction
Period as the Committee shall determine.

4.2 Performance Restricted Share Agreement
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Each grant of Performance Restricted Shares shall be evidenced by a written
agreement between the Company and Participant to whom such shares are granted.
The agreement shall specify the number of Performance Restricted Shares granted,
the terms and conditions of the grant, the duration of the Performance Period,
the performance goals to be achieved, and the Vesting Period and the Restriction
Period applicable to shares of Common Stock earned.

4.3 Common Stock Equivalent
Each Performance Restricted Share shall be credited to an account to be
maintained for each such Participant during the Performance Period and shall be
deemed to be the equivalent of one share of Common Stock. At the conclusion of
the Performance Period, Performance Restricted Shares earned, if any, shall be
converted to shares of Common Stock subject to a Vesting Period and a
Restriction Period.

4.4 Performance Measures
Performance Restricted Share awards shall be conditioned upon the Company's
attainment of a specified goal with respect to one or more of the following
performance measures: (i) total shareholder return; (ii) EVA as defined below;
(iii) return on shareholders' equity; (iv) return on capital; (v) earnings per
share; (vi) sales; (vii) earnings; (viii) cash flow; and (ix) operating income.
EVA equals the dollar amount arrived at by taking net operating profit after
taxes and subtracting a charge for the use of the capital needed to generate
that profit. The Committee shall determine a minimum performance level below
which no Performance Restricted Shares shall be payable and a performance
schedule under which the number of shares earned may be less than, equal to, or
greater than the number of Performance Restricted Shares granted based upon the
Company's performance. The Committee may adjust the performance goals and
measurements to reflect significant unforeseen events; provided, however, that
the Committee may not make any such adjustment with respect to any award of
Performance Restricted Shares to an individual who is then a "covered employee"
as such term is defined in Regulation 1.162-27(c)(2) promulgated under Section
162(m), if such adjustment would cause compensation pursuant to such Performance
Restricted Share award to cease to be performance-based compensation under
Section 162(m).

4.5 Performance Period
The Committee shall establish a Performance Period applicable to each grant of
Performance Restricted Shares. Each such Performance Period shall commence on
January 1 of the calendar year in which grants are made. There shall be no
limitation on the number of Performance Periods established by the Committee,
and more than one Performance Period may encompass the same calendar year. The
Committee may shorten any Performance Period if it determines that unusual or
unforeseen events so warrant.

4.6 Dividend Equivalents During Performance Period
Unless otherwise provided by the Committee, a Participant shall be entitled to
receive Dividend Equivalents during the Performance Period which shall be deemed
to have been
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reinvested in additional Performance Restricted Shares at the same time as such
underlying Common Stock cash dividend is paid. Performance Restricted Shares
granted through such reinvestment shall be credited to the Participant's account
and shall be payable to the Participant in the same manner and at the same time
as the Performance Restricted Shares with respect to which such Dividend
Equivalents were issued.

4.7 Right to Payment of Performance Restricted Shares
(a)  At the conclusion of the Performance Period, the Committee shall determine
the number of Performance Restricted Shares, if any, which have been earned on
the basis of Company performance in relation to the established performance
goals. In no event shall such number exceed 300% of the shares contingently
granted.
(b)  Performance Restricted Shares earned shall be converted to shares of Common
Stock and shall be represented by book entry or by a stock certificate
registered in the name of the Participant. Certificates evidencing such shares
shall be held in custody by the Company until the restrictions thereon are no
longer in effect. After the lapse or waiver of the restrictions imposed, the
Company shall deliver in the Participant's name one or more stock certificates,
free of restrictions, evidencing the shares of Common Stock to which the
restrictions have lapsed or been waived.

4.8 Vesting Period
At the time a Performance Restricted Share grant is made, the Committee shall
establish a period of time (the "Vesting Period") applicable to such shares
earned, if any, which shall begin at the end of the Performance Period. During
the Vesting Period, Performance Restricted Shares shall be subject to the risk
of forfeiture. The Committee may provide for the lapse of such restrictions in
installments and may accelerate or waive such restrictions, in whole or in part,
based on service and such other factors as the Committee may determine.

4.9 Restriction Period
At the time a Performance Restricted Share grant is made, the Committee shall
establish a period of time (the "Restriction Period") applicable to such shares
earned, if any, which shall begin at the end of the Performance Period.  During
the Restriction Period, the Participant shall not be permitted to sell, assign,
transfer, pledge or otherwise dispose of Performance Restricted Shares that have
been earned. The Committee may provide for the lapse of such restrictions in
installments, in whole or in part, based on service and such other factors as
the Committee may determine.

4.10 Other Terms and Conditions
Performance Restricted Shares earned and restricted shares received with respect
to such shares shall be subject to the following terms and conditions:
(a)  Except as otherwise provided in the Plan or in the Performance Restricted
Share agreement, the Participant shall have all the rights of a shareholder of
the Company, including the right to vote the shares.
(b)  Cash dividends paid with respect to Performance Restricted Shares shall be
reinvested to purchase additional shares of Common Stock that shall be subject
to the
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same terms, conditions, and restrictions that apply to the Performance
Restricted Shares with respect to which such dividends were issued.
(c)  Except as otherwise provided in the Plan or in the Performance Restricted
Share agreement, upon termination of a Participant's employment, all unvested
shares subject to restriction shall be forfeited by the Participant.

4.11 Termination of Employment Provisions During a Performance Period
(a)  In the event a Participant terminates employment during a Performance
Period by reason of death, Disability, or Retirement, the Participant shall be
entitled to the full number of shares earned, if any, as long as the Participant
had completed a minimum of one year of employment during the Performance Period.
If the termination of employment is by reason of death or Disability, all other
restrictions shall lapse and shares of Common Stock shall be issued to the
Participant or the Participant's designated beneficiary following the
Performance Period. If the termination of employment is by reason of Retirement,
any applicable Restriction Period shall continue in effect, but in no event
beyond the end of the three-year period following the Participant's Retirement.
Following the expiration of such Restriction Period, shares of Common Stock
shall be issued to the Participant. In the event the Participant had not
completed one year of employment during the Performance Period, the Participant
shall forfeit all rights to earn such Performance Restricted Shares.
(b)  If a Participant terminates employment for any reason other than death,
Disability, or Retirement, the Participant shall forfeit all rights to earn such
Performance Restricted Shares.
(c)  Notwithstanding Sections 4.11(a) and 4.11(b), in the event a Participant's
employment is terminated under special circumstances, the Committee may, in its
sole discretion, continue a Participant's rights to earn any or all Performance
Restricted Shares and waive, in whole or in part, any or all remaining
restrictions.

4.12 Termination of Employment Provisions Following a Performance Period
(a)  In the event a Participant terminates employment following a Performance
Period by reason of death, Disability, or Retirement, all Performance Restricted
Shares earned shall immediately vest. If the termination of employment is by
reason of death or Disability, all other restrictions shall lapse and shares of
Common Stock shall be issued to the Participant or the Participant's designated
beneficiary. If the termination of employment is by reason of Retirement, any
applicable Restriction Period shall continue in effect, but in no event beyond
the end of the three-year period following the Participant's Retirement.
Following the expiration of such Restriction Period, shares of Common Stock
shall be issued to the Participant.
(b)  If a Participant terminates employment for any reason other than death,
Disability, or Retirement, the Participant shall forfeit all Performance
Restricted Shares subject to the Vesting Period. Any applicable Restriction
Period shall continue in effect, but in no event beyond the end of the three-
year period following the Participant's date of termination of employment.
Following the expiration of such Restriction Period, shares of Common Stock
shall be issued to the Participant.
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(c)  Notwithstanding Sections 4.12 (a) and 4.12 (b), in the event a
Participant's employment is terminated under special circumstances, the
Committee may, in its sole discretion, waive in whole or in part any or all
remaining restrictions.

4.13 Change in Control Provisions
In the event of any Change in Control, all Performance Restricted Shares earned
shall immediately vest and restrictions shall lapse on all shares subject to
restrictions as of the date of such Change in Control. Further, all Performance
Restricted Shares granted, including those granted pursuant to Dividend
Equivalents, shall be deemed to have been earned to the maximum extent permitted
pursuant to Section 4.4 for any Performance Period not yet completed as of the
effective date of such Change in Control.

ARTICLE V - RESTRICTED STOCK AWARDS AND STOCK AWARDS

5.1 Award of Restricted Stock and Stock Awards
The Committee may grant Restricted Stock Awards to officers and key employees of
the Company subject to such terms and conditions as the Committee shall
determine, provided that each Restricted Stock Award shall be subject to a
Restriction Period. The Committee may also grant Stock Awards. Restricted Stock
Awards and Stock Awards shall be used for the purposes of recruitment,
recognition, and retention of key employees vital to the Company's success and
may be issued independent of or in lieu of other compensation payable to a
Participant. The Committee may, in its sole discretion, require a Participant to
deliver consideration in form of services or cash as a condition to the grant of
a Restricted Stock Award or Stock Award.

5.2 Restricted Stock Award and Stock Award Agreements
Each Restricted Stock Award shall be evidenced by a written agreement between
the Company and the Participant to whom such award is granted and a Stock Award
will be evidenced by a written agreement in the event that the Committee
determines that an agreement is appropriate. The agreement shall specify the
number of shares awarded, the terms and conditions of the award and, in the case
of a Restricted Stock Award, the Restriction Period and the consequences of
forfeiture.

5.3 Awards and Certificates
Shares of Common Stock awarded pursuant to a Restricted Stock Award or a Stock
Award shall be registered in the name of the Participant. Certificates
evidencing Restricted Stock Awards shall be held in custody by the Company until
the restrictions thereon are no longer in effect. After the lapse or waiver of
the restrictions imposed upon the Restricted Stock Award, the Company shall
deliver in the Participant's name one or more stock certificates, free of
restrictions, evidencing the shares of Common Stock subject to the Restricted
Stock Award to which the restrictions have lapsed or been waived.

5.4 Restriction Period
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At the time a Restricted Stock Award is made, the Committee shall establish a
period of time (the "Restriction Period") applicable to such award during which
the shares of restricted stock are subject to the risk of forfeiture and the
Participant shall not be permitted to sell, assign, transfer, pledge, or
otherwise dispose of such shares. The Committee may provide for the lapse of
such restrictions in installments and may accelerate or waive such restrictions,
in whole or in part, based on service and such other factors as the Committee
may determine.

5.5 Other Terms and Conditions of Restricted Stock Awards
Shares of Common Stock subject to Restricted Stock Awards shall be subject to
the following terms and conditions:
(a)  Except as otherwise provided in the Plan or in the Restricted Stock Award
agreement, the Participant shall have all the rights of a shareholder of the
Company, including the right to vote the shares.
(b)  Cash dividends paid with respect to Common Stock subject to a Restricted
Stock Award shall be reinvested to purchase additional shares of Common Stock
that shall be subject to the same terms, conditions, and restrictions that apply
to the Restricted Stock Award with respect to which such dividends were issued.
(c)  Except as otherwise provided in the Plan or in the Restricted Stock Award
agreement, upon termination of a Participant's employment, all shares subject to
restriction shall be forfeited by the Participant.

5.6 Termination of Employment
(a)  In the event a Participant terminates employment during the Restriction
Period by reason of death or Disability, restrictions shall lapse on all shares
subject to restriction at the time of such termination.
(b)  In the event a Participant terminates employment during the Restriction
Period by reason of Retirement, restrictions shall lapse on a proportion of any
shares subject to restriction at the time of such Retirement. Any applicable
Restriction Period shall continue in effect, but in no event beyond the end of
the three-year period following the Participant's Retirement. The number of
shares upon which the restrictions shall lapse shall be prorated for the number
of months of employment during the Restriction Period prior to the Participant's
termination of employment.
(c)  If a Participant terminates employment for any reason other than death,
Disability, or Retirement, the Participant shall forfeit all shares subject to
restriction.
(d)  Notwithstanding Sections 5.6 (a), 5.6 (b) and 5.6 (c), in the event a
Participant's employment is terminated under special circumstances, the
Committee may, in its sole discretion, waive in whole or in part any or all
remaining restrictions.

5.7 Change in Control Provisions
In the event of any Change in Control, all restrictions applicable to any
outstanding Restricted Stock Award shall lapse as of the date of such Change in
Control.

ARTICLE VI - CASH INCENTIVE AWARDS
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6.1 Granting of Awards
The Committee, in its discretion, may grant Cash Incentive Awards to
Participants. Each Cash Incentive Award shall be conditioned upon the Company's
attainment of a specified goal with respect to one or more Performance Measures
during the applicable Performance Period. The Committee shall determine a
minimum performance level below which the Cash Incentive Award shall not be
payable. The Committee may adjust the performance goals and measurements to
reflect significant unforeseen events; provided, however, that the Committee may
not make any such adjustment with respect to any Cash Incentive Award to an
individual who is then a "covered employee" as such term is defined under
Section 162(m), if such adjustment would cause compensation pursuant to such
Cash Incentive Award to cease to be performance-based compensation under Section
162(m).

6.2 Other Award Terms
The Committee may, in its sole discretion, establish certain additional
performance-based conditions that must be satisfied by the Company, a business
unit or the Participant as a condition precedent to the payment of all or a
portion of any Cash Incentive Awards. Such conditions precedent may include,
among other things, the receipt by a Participant of a specified annual
performance rating and the achievement of specified performance goals by the
Company, business unit or Participant.

6.3 Maximum Amount Available for Awards
The maximum amount payable to any one Participant pursuant to a Cash Incentive
Award with respect to any one year shall be $3,000,000.

ARTICLE VII - TAX WITHHOLDING AND DEFERRAL OF PAYMENT

7.1 Tax Withholding
(a)  The Company may withhold from any payment of cash or Common Stock to a
Participant or other person pursuant to the Plan an amount sufficient to satisfy
any required withholding taxes, including the Participant's Social Security and
Medicare taxes ("FICA") and federal, state and local income tax with respect to
income arising from the payment of the award. The Company shall have the right
to require the payment of any such taxes before delivering payment or issuing
Common Stock pursuant to the award.
(b)  At the discretion of the Committee, share tax withholding may be included
as a term of any grant of Stock Options, Stock Appreciation Rights, Performance
Restricted Shares, Restricted Stock Award and Stock Award.
(c)  Share tax withholding shall entitle the Participant to elect to satisfy, in
whole or in part, any tax withholding obligations in connection with the
issuance of shares of Common Stock earned under the Plan by requesting that the
Company either:
     (i)  withhold shares of Common Stock otherwise issuable to the Participant;
or
     (ii) accept delivery of shares of Common Stock previously owned by the
Participant.
<PAGE>

     In either case, the Fair Market Value of such shares of Common Stock will
generally be determined on the date of exercise for Stock Options and Stock
Appreciation Rights, the date following the Restriction Period for Performance
Restricted Shares and Restricted Stock Awards and on the grant date for Stock
Awards.
(d)  Notwithstanding any other provision hereof to the contrary, the Committee,
in its sole discretion may at any time suspend, terminate, or disallow any or
all entitlements to share tax withholding previously granted or extended to any
Participant.

7.2 Deferral of Payment
At the discretion of the Committee, a Participant may be offered the right to
defer the receipt of all or any portion of the Common Stock distributable to
such Participant with respect to Performance Restricted Shares, Restricted Stock
Awards or Stock Awards. Such right shall be exercised by execution of a written
agreement by the Participant: (i) with respect to Restricted Stock Awards, prior
to the expiration of the applicable Restriction Period; (ii) with respect to
Performance Restricted Shares, prior to the expiration of the applicable Vesting
Period; and (iii) with respect to Stock Awards, prior to the deadline
established by the Committee for such award. Upon any such deferral, the number
of shares of Common Stock subject to the deferral shall be converted to stock
units and a stock unit account shall be maintained by the Company on behalf of
the Participant. Such stock units shall represent only a contractual right and
shall not represent any interest in or title to Common Stock. Such units shall
be entitled to earn dividend equivalents.  All other terms and conditions of
deferred payments shall be as contained in said written agreement.

ARTICLE VIII - OTHER PROVISIONS

8.1 Adjustment in Number of Shares and Option Prices
Grants of Stock Options, Stock Appreciation Rights, Performance Restricted
Shares, Restricted Stock Awards and Stock Awards shall be subject to adjustment
by the Committee as to the number and price of shares of Common Stock or other
considerations subject to such grants in the event of changes in the outstanding
shares by reason of stock dividends, stock splits, recapitalizations,
reorganizations, mergers, consolidations, combinations, exchanges, or other
relevant changes in capitalization occurring after the date of grant. In the
event of any such change in the outstanding shares, the aggregate number of
shares available under the Plan may be appropriately adjusted by the Committee.

8.2 No Right to Employment
Nothing contained in the Plan, nor in any grant pursuant to the Plan, shall
confer upon any Participant any right with respect to continuance of employment
by the Company or its subsidiaries, nor interfere in any way with the right of
the Company or its subsidiaries to terminate the employment or change the
compensation of any employee at any time.

8.3 Nontransferability
<PAGE>

A Participant's rights under the Plan, including the right to any shares or
amounts payable may not be assigned, pledged, or otherwise transferred except,
in the event of a Participant's death, to the Participant's designated
beneficiary or, in the absence of such a designation, by will or by the laws of
descent and distribution; provided, however, that the Committee may, in its
discretion, at the time of grant of a Nonstatutory Stock Option or by amendment
of an option agreement for an Incentive Stock Option or a Nonstatutory Stock
Option, provide that Stock Options granted to or held by a Participant may be
transferred, in whole or in part, to one or more transferees and exercised by
any such transferee, provided further that (i) any such transfer must be without
consideration; (ii) each transferee must be a member of such Participant's
"immediate family" or a trust, family limited partnership or other estate
planning vehicle established for the exclusive benefit of one or more members of
the Participant's immediate family; and (iii) such transfer is specifically
approved by the Committee following the receipt of a written request for
approval of the transfer; and provided further that any Incentive Stock Option
which is amended to permit transfers during the lifetime of the Participant
shall, upon the effectiveness of such amendment, be treated thereafter as a
Nonstatutory Stock Option. In the event a Stock Option is transferred as
contemplated in this Section, such transfer shall become effective when approved
by the Committee and such Stock Option may not be subsequently transferred by
the transferee other than by will or the laws of descent and distribution. Any
transferred Stock Option shall continue to be governed by and subject to the
terms and conditions of this Plan and the relevant option agreement, and the
transferee shall be entitled to the same rights as the Participant as if no
transfer had taken place. As used in this Section, "immediate family" shall
mean, with respect to any Participant, any spouse, child, stepchild or
grandchild, and shall include relationships arising from legal adoption.

8.4 Compliance with Government Regulations
(a)  The Company shall not be required to issue or deliver shares or make
payment upon any right granted under the Plan prior to complying with the
requirements of any governmental authority in connection with the authorization,
issuance, or sale of such shares.
(b)  The Plan shall be construed and its provisions enforced and administered in
accordance with the laws of the Commonwealth of Pennsylvania applicable to
contracts entered into and performed entirely in such State.

8.5 Rights as a Shareholder
The recipient of any grant under the Plan shall have no rights as a shareholder
with respect thereto unless and until certificates for shares of Common Stock
are issued to such recipient or such shares are represented by book entry in the
name of such recipient.

8.6 Unfunded Plan
Unless otherwise determined by the Committee, the Plan shall be unfunded and
shall not create (or be construed to create) a trust or separate funds. With
respect to any payment not yet made to a Participant, nothing contained herein
shall give any Participant any rights that are greater than those of a general
creditor of the Company.
<PAGE>

8.7 Foreign Jurisdiction
The Committee shall have the authority to adopt, amend, or terminate such
arrangements, not inconsistent with the intent of the Plan, as it may deem
necessary or desirable to make available tax or other benefits of the laws of
foreign countries in order to promote achievement of the purposes of the Plan.

8.8 Other Compensation Plans
Nothing contained in this Plan shall prevent the Company from adopting other or
additional compensation arrangements, subject to shareholder approval if such
approval is required.

8.9 Termination of Employment - Certain Forfeitures
Notwithstanding any other provision of the Plan (other than provisions regarding
Change in Control, including without limitation Sections 2.5(d), 4.13 and 5.7
which shall apply in all events) and except for Performance Restricted Shares,
Restricted Stock Awards or Stock Awards which would otherwise be free of
restrictions and the receipt of which has been deferred pursuant to Section 7.2,
a Participant shall have no right to exercise any Stock Option or Stock
Appreciation Right or receive payment of any Performance Restricted Share or
Restricted Stock Award if: (i) the Participant is discharged for willful,
deliberate, or gross misconduct as determined by the Committee in its sole
discretion; or (ii) if following the Participant's termination of employment
with the Company and, within a period of three years thereafter, the Participant
engages in any business or enters into any employment which the Committee in its
sole discretion determines to be either directly or indirectly competitive with
the business of the Company or substantially injurious to the Company's
financial interest (the occurrence of an event described above in (i) or (ii) of
this Section 8.9 shall be referred to herein as "Injurious Conduct").
Furthermore, notwithstanding any other provision of the Plan to the contrary, in
the event that a Participant receives or is entitled to cash or the delivery or
vesting of Common Stock pursuant to an award during the 12 month period prior to
the Participant's termination of employment with the Company or during the 24
months following the Participant's termination of employment, then the
Committee, in its sole discretion, may require the Participant to return or
forfeit the cash and/or Common Stock received with respect to such award (or its
economic value as of (i) the date of the exercise of Stock Options or Stock
Appreciation Rights; (ii) the date immediately following the end of the
Restricted Period for Performance Restricted Shares or for Restricted Stock
Awards; and (iii) the date of grant or payment with respect to Stock Awards or
Cash Incentive Awards, as the case may be) in the event that the Participant
engages in Injurious Conduct. A Participant may request the Committee in writing
to determine whether any proposed business or employment activity would
constitute Injurious Conduct. Such a request shall fully describe the proposed
activity and the Committee's determination shall be limited to the specific
activity so described. The Committee's right to require forfeiture under this
Section 8.9 must be exercised within 90 days after the discovery of an
occurrence triggering the Committee's right to require forfeiture but in no
event later than 24 months after the Participant's termination of employment
with the Company.
<PAGE>

ARTICLE IX - AMENDMENT AND TERMINATION

9.1 Amendment and Termination
The Board of Directors may modify, amend, or terminate the Plan at any time
except that, to the extent then required by applicable law, rule, or regulation,
approval of the holders of a majority of shares of Common Stock represented in
person or by proxy at a meeting of the shareholders will be required to increase
the maximum number of shares of Common Stock available for distribution under
the Plan (other than increases due to adjustments in accordance with the Plan).
No modification, amendment, or termination of the Plan shall adversely affect
the rights of a Participant under a grant previously made to him without the
consent of such Participant.

ARTICLE X - EFFECTIVE DATE, DURATION OF PLAN AND TERMINATION OF PRIOR PLAN

10.1 Effective Date and Duration of Plan
The Plan shall become effective immediately upon the approval and adoption
thereof at the Annual Meeting of the shareholders on April 26, 1999. All rights
granted under the Plan must be granted within ten years from its adoption date
by the shareholders of the Company. Any rights outstanding ten years after the
adoption of the Plan may be exercised within the periods prescribed under or
pursuant to the Plan.

10.2 Termination of Grants Under the Prior Plan
Upon the effective date of this Plan, no further grants or awards are permitted
under the Prior Plan. All grants and awards under the Prior Plan that remain
outstanding shall be administered and paid in accordance with the provisions of
the Prior Plan.<PAGE>

                                                            EXHIBIT (10)(iii)(k)

                                   AGREEMENT
                                   ---------

          THIS AGREEMENT, dated as of October 1, 1999, is made by and between
Armstrong World Industries, Inc., a Pennsylvania corporation (the "Company"),
and ((FirstName)) ((LastName)) (the "Executive").

          WHEREAS, the Board considers it essential to the best interests of the
Company to foster the continued employment of key management personnel; and

          WHEREAS, the Board recognizes that, as is the case with many publicly
held corporations, the possibility of a Change in Control exists and that such
possibility, and the uncertainty and questions which it may raise among
management, may result in the departure or distraction of management personnel
to the detriment of the Company; and

          WHEREAS, the Board has determined that appropriate steps should be
taken to reinforce and encourage the continued attention and dedication of
members of the Company's management, including the Executive, to their assigned
duties without distraction in the face of potentially disturbing circumstances
arising from the possibility of a Change in Control;

          NOW, THEREFORE, in consideration of the premises and the mutual
covenants herein contained, the Company and the Executive hereby agree as
follows:

          1.  Defined Terms. The definitions of capitalized terms used in this
              -------------
Agreement are provided in the last Section hereof.

          2.  Term of Agreement. This Agreement shall commence on the date
              -----------------
hereof and shall continue in effect through September 30, 2002; provided,
                                                                --------
however, that commencing on October 1, 2000 and each October 1 thereafter, the
-------
term of this Agreement shall automatically be extended for one additional year
unless, not later than June 30 of that year, the Company or the Executive shall
have given notice not to extend this Agreement or a Change in Control shall have
occurred prior to such October 1; and further provided, however, that if a
                                      ------- --------  -------
Change in Control shall have occurred during the term of this Agreement, this
Agreement shall continue in effect for a period of not less than thirty-six (36)
months beyond the month in which such Change in Control occurred.

          3.  Company's Covenants Summarized. In order to induce the Executive
              ------------------------------
to remain in the employ of the Company and in consideration of the Executive's
covenants set forth in Section 4 hereof, the Company agrees, under the
<PAGE>

conditions described herein, to pay the Executive the Severance Payments and the
other payments and benefits described herein.  Except as provided in Section
10.1 hereof, no amount or benefit shall be payable under this Agreement unless
there shall have been (or, under the terms of the second sentence of Section 6.1
hereof, there shall be deemed to have been) a termination of the Executive's
employment with the Company following a Change in Control and during the term of
this Agreement.  This Agreement shall not be construed as creating an express or
implied contract of employment and, except as otherwise agreed in writing
between the Executive and the Company, the Executive shall not have any right to
be retained in the employ of the Company.

          4.   The Executive's Covenants. The Executive agrees that, subject to
               -------------------------
the terms and conditions of this Agreement, in the event of a Potential Change
in Control during the term of this Agreement, the Executive will remain in the
employ of the Company until the earliest of (i) a date which is six (6) months
after the date of such Potential Change in Control, (ii) the date of a Change in
Control, (iii) the date of termination by the Executive of the Executive's
employment for Good Reason or by reason of death or Disability, or (iv) the
termination by the Company of the Executive's employment for any reason.

          5.   Compensation Other Than Severance Payments.
               ------------------------------------------

          5.1. Following a Change in Control and during the term of this
Agreement, during any period that the Executive fails to perform the Executive's
full-time duties with the Company as a result of incapacity due to physical or
mental illness, the Company shall pay the Executive's full salary to the
Executive at the rate in effect at the commencement of any such period, together
with all compensation and benefits payable to the Executive under the terms of
any compensation or benefit plan, program or arrangement maintained by the
Company during such period, until the Executive's employment is terminated by
the Company for Disability.

          5.2. If the Executive's employment shall be terminated for any reason
following a Change in Control and during the term of this Agreement, the Company
shall pay the Executive's full salary to the Executive through the Date of
Termination at the rate in effect immediately prior to the Change in Control or
at the time the Notice of Termination is given, whichever is greater, together
with all compensation and benefits to which the Executive is entitled in respect
of all periods preceding the Date of Termination under the terms of the
Company's compensation and benefit plans, programs or arrangements.

          5.3. If the Executive's employment shall be terminated for any reason
following a Change in Control and during the term of this Agreement, the Company
shall pay to the Executive the Executive's normal post-termination compensation
and benefits as such payments become due. Such post-termination compensation and
benefits shall be determined under, and paid in accordance with, the Company's
retirement, insurance and other compensation or benefit plans, programs and

                                      -2-
<PAGE>

arrangements as in effect immediately prior to the Change in Control or, if more
favorable to the Executive, as in effect immediately prior to the Date of
Termination.

          6.   Severance Payments.
               ------------------

          6.1. The Company shall pay the Executive the payments described in
this Section 6.1 (the "Severance Payments") upon the termination of the
Executive's employment following a Change in Control and during the term of this
Agreement, in addition to any payments and benefits to which the Executive is
entitled under Section 5 and 8 hereof, unless such termination is (i) by the
Company for Cause, (ii) by reason of death or Disability, or (iii) by the
Executive without Good Reason. For purposes of this Agreement, the Executive's
employment shall be deemed to have been terminated by the Company without Cause
or by the Executive with Good Reason following a Change in Control if (i) the
Executive's employment is terminated without Cause prior to a Change in Control
which actually occurs during the term of this Agreement and such termination was
at the request or direction of a Person who has entered into an agreement with
the Company the consummation of which would constitute a Change in Control, (ii)
the Executive terminates his employment with Good Reason prior to a Change in
Control which actually occurs during the term of this Agreement and the
circumstance or event which constitutes Good Reason occurs at the request or
direction of such Person, (iii) the Executive's employment is terminated by the
Company without Cause or by the Executive for Good Reason prior to a Change in
Control and the Executive reasonably demonstrates that such termination is
otherwise in connection with or in anticipation of a Change in Control which
actually occurs during the term of this Agreement; provided that any termination
of the Executive's employment by the Company without Cause or by the Executive
for Good Reason within the six (6) month period immediately preceding a Change
in Control which actually occurs during the term of this Agreement shall be
presumed to be a termination by the Company without Cause or by the Executive
for Good Reason following a Change in Control, or (iv) the Executive's
employment is terminated without Cause after a Potential Change in Control of
the type described in paragraph (I) of the definition of "Potential Change in
Control".

               (A) In lieu of any further salary payments to the Executive for
     periods subsequent to the Date of Termination and in lieu of any severance
     benefit otherwise payable to the Executive, the Company shall pay to the
     Executive a lump sum severance payment, in cash, equal to three (3) times
     the sum of (i) the higher of the Executive's annual base salary in effect
     immediately prior to the occurrence of the event or circumstance upon which
     the Notice of Termination is based or the Executive's annual base salary in
     effect immediately prior to the Change in Control (the "Change in Control
     Salary"), and (ii) the higher of the highest annual bonus earned by the
     Executive pursuant to any annual bonus or incentive plan maintained by the
     Company in respect of the

                                      -3-
<PAGE>

     three (3) years immediately preceding that year in which the Date of
     Termination occurs or the highest annual bonus so earned in respect of the
     three (3) years immediately preceding that in which the Change in Control
     occurs (the "Change in Control Bonus").

               (B) Notwithstanding any provision of any annual incentive plan to
     the contrary, the Company shall pay to the Executive a lump sum amount, in
     cash, equal to a pro rata portion to the Date of Termination of the value
     of the target incentive award under such plan for the then uncompleted
     period under such plan, calculated by multiplying the Executive's target
     award by the fraction obtained by dividing the number of full months and
     any fractional portion of a month during such performance award period
     through the Date of Termination by the total number of months contained in
     such performance award period.

               (C) The Company shall (i) establish an irrevocable grantor trust
     holding an amount of assets sufficient to pay all such remaining premiums
     owed by the Company (which trust shall be required to pay such premiums),
     under any insurance policy insuring the life of the Executive under any
     "split dollar" insurance arrangement in effect between the Executive and
     the Company, and (ii) assign its interest in such policy or policies to the
     grantor trust.

               (D) In addition to the retirement benefits to which the Executive
     is entitled under each Pension Plan or any successor plan thereto, the
     Company shall pay the Executive a lump sum amount, in cash, equal to the
     excess of (i) the actuarial equivalent of the aggregate retirement pension
     (taking into account any early retirement subsidies associated therewith
     and determined as a straight life annuity commencing at the date (but in no
     event earlier than the third anniversary of the Date of Termination) as of
     which the actuarial equivalent of such annuity is greatest) which the
     Executive would have accrued under the terms of all Pension Plans (without
     regard to any amendment to any Pension Plan made subsequent to the earlier
     of a Potential Change in Control or a Change in Control and on or prior to
     the Date of Termination, which amendment adversely affects in any manner
     the computation of retirement benefits thereunder), determined as if the
     Executive were fully vested thereunder and had accumulated (after the Date
     of Termination) thirty-six (36) additional months of age and service credit
     thereunder and had been credited under each Pension Plan during such period
     with compensation at the higher of (1) the Executive's compensation (as
     defined in such Pension Plan) during the twelve (12) months immediately
     preceding the Date of Termination or (2) the Executive's compensation (as
     defined in such Pension Plan) during the twelve (12) months immediately
     preceding the Change in Control, over (ii) the actuarial equivalent of the
     aggregate retirement pension (taking into account any early retirement
     subsidies associated therewith and determined as a straight life annuity
     commencing at the date (but in no event earlier than the Date of
     Termination) as

                                      -4-
<PAGE>

     of which the actuarial equivalent of such annuity is greatest) which the
     Executive had accrued pursuant to the provisions of the Pension Plans as of
     the Date of Termination; provided, that the actuarial equivalent of such
     payment shall reduce the amount of the benefit enhancement to which the
     Executive may be entitled under the Company's Retirement Benefit Equity
     Plan due to enhanced Change in Control benefits under Article I, Section
     (35), Article VI, Section (2), Article VI, Section (7), and Article VII,
     Section (6) of the Company's Retirement Income Plan.  For purposes of this
     Section 6.1(D), "actuarial equivalent" shall be determined using the same
     assumptions utilized under the Company's Retirement Income Plan immediately
     prior to the Change in Control, to determine lump sum present values under
     Article VII, Section (7) of the Company's Retirement Income Plan.

               (E) For the thirty-six (36) month period immediately following
     the Date of Termination, the Company shall arrange to provide the Executive
     (which includes the Executive's eligible dependents for purposes of this
     paragraph (E)) with life, disability, accident and health insurance
     benefits substantially similar to those which the Executive was receiving
     immediately prior to the Notice of Termination (without giving effect to
     any amendment to such benefits made subsequent to the earlier of a
     Potential Change in Control or a Change in Control which amendment
     adversely affects in any manner the Executive's entitlement to or the
     amount of such benefits); provided, however, that, unless the Executive
                               --------  -------
     consents to a different method, such health insurance benefits shall be
     provided through a third-party insurer. Benefits otherwise receivable by
     the Executive pursuant to this Section 6.1(E) shall be reduced to the
     extent comparable benefits (including continued coverage for any
     preexisting medical condition of any person covered by the benefits
     provided to the Executive and his eligible dependents immediately prior to
     the Notice of Termination) are actually received by or made available to
     the Executive by a subsequent employer without cost during the thirty-six
     (36) month period following the Executive's termination of employment (and
     any such benefits actually received by or made available to the Executive
     shall be reported to the Company by the Executive).

               (F) If the Executive would have become entitled to benefits under
     the Company's post-retirement health care or life insurance plans (as in
     effect immediately prior to a Potential Change in Control, the Change in
     Control or the Date of Termination, whichever is most favorable to the
     Executive) had the Executive's employment terminated at any time during the
     period of thirty-six (36) months after the Date of Termination, the Company
     shall provide such post-retirement health care or life insurance benefits
     to the Executive (subject to any employee contributions required under the
     terms of such plans at the level in effect immediately prior to the Change
     in Control or the Date of Termination, whichever is more favorable to the
     Executive) commencing on the later of (i) the

                                      -5-
<PAGE>

     date that such coverage would have first become available or (ii) the date
     that benefits described in subsection (E) of this Section 6.1 terminate.

               (G) The Company will pay the Executive, at a daily salary rate
     calculated from the higher of the Executive's annual base salary in effect
     immediately prior to the occurrence of the event or circumstance upon which
     the Notice of Termination is based or the Executive's annual base salary in
     effect immediately prior to the Change in Control, an amount equal to all
     unused vacation days which would have been earned had the Executive
     continued employment through December 31 of the year in which the Date of
     Termination occurs.

               (H) The Company shall pay the reasonable fees and expenses of a
     full service nationally recognized executive outplacement firm until the
     earlier of the date the Executive secures new employment or the date which
     is thirty-six (36) months following the Executive's Date of Termination;
     provided, that in no event shall the aggregate amount of such payment be
     greater than 20% of the Executive's Change in Control Salary.

          6.2. (A) Anything in this Agreement to the contrary notwithstanding,
     in the event it shall be determined that any payment or distribution by the
     Company to or for the benefit of the Executive (whether paid or payable or
     distributed or distributable pursuant to the terms of this Agreement or
     otherwise) (a "Payment") would be subject to the excise tax imposed by
     Section 4999 of the Code or any interest or penalties are incurred by the
     Executive with respect to the excise tax (such excise tax, together with
     any such interest and penalties, are hereinafter collectively referred to
     as the "Excise Tax"), then the Executive shall be entitled to receive an
     additional payment (a "Gross-Up Payment") in an amount such that after
     payment by the Executive of all taxes (including any interest or penalties
     imposed with respect to such taxes), including, without limitation, any
     income taxes (and any interest and penalties imposed with respect thereto)
     and Excise Tax imposed on the Gross-Up Payment, the Executive retains an
     amount of the Gross-Up Payment equal to the Excise Tax imposed upon the
     Payments.

               (B) Subject to the provisions of Section 6.2(C), all
     determinations required to be made under this Section 6.2, including
     whether and when a Gross-Up Payment is required and the amount of such
     Gross-Up Payment, shall be made by a nationally recognized accounting firm
     designated by the Company (the "Accounting Firm") which shall provide
     detailed supporting calculations both to the Company and the Executive
     within fifteen (15) business days after there has been a Payment, or such
     earlier time as requested by the Company. In the event that the Accounting
     Firm is serving as accountant or auditor for the individual, entity or
     group effecting the Change in Control, the Company shall appoint another
     nationally recognized accounting firm to make the determinations required
     hereunder (which accounting firm shall then be referred

                                      -6-
<PAGE>

     to as the Accounting Firm hereunder). All fees and expenses of the
     Accounting Firm shall be borne solely by the Company. Any Gross-Up Payment,
     as determined pursuant to this Section 6, shall be paid by the Company to
     the Executive within five days of the receipt of the Accounting Firm's
     determination. Any determination by the Accounting Firm shall be binding
     upon the Company and the Executive. As a result of the uncertainty in the
     application of Section 4999 of the Code at the time of the initial
     determination by the Accounting Firm hereunder, it is possible that Gross-
     Up Payments which will not have been made by the Company should have been
     made ("Underpayment"), consistent with the calculations required to be made
     hereunder. In the event that the Company exhausts its remedies pursuant to
     Section 6.2(C) and the Executive thereafter is required to make a payment
     of any Excise Tax, the Accounting Firm shall determine the amount of the
     Underpayment that has occurred and any such Underpayment shall be promptly
     paid by the Company to or for the benefit of the Executive.

               (C) The Executive shall notify the Company in writing of any
     claim by the Internal Revenue Service that, if successful, would require
     the payment by the Company of the Gross-Up Payment. Such notification shall
     be given as soon as practicable but no later than ten (10) business days
     after the Executive is informed in writing of such claim and shall apprise
     the Company of the nature of such claim and the date on which such claim is
     requested to be paid. The Executive shall not pay such claim prior to the
     expiration of the 30-day period following the date on which it gives such
     notice to the Company (or such shorter period ending on the date any
     payment of taxes with respect to such claim is due). If the Company
     notifies the Executive in writing prior to the expiration of such period
     that it desires to contest such claim, the Executive shall:

                   (i)   give the Company any information reasonably requested
               by the Company relating to such claim;

                   (ii)  take such action in connection with contesting such
               claim as the Company shall reasonably request in writing from
               time to time, including, without limitation, accepting legal
               representation with respect to such claim by an attorney
               reasonably selected by the Company;

                   (iii) cooperate with the Company in good faith in order
               effectively to contest such claim; and

                   (iv)  permit the Company to participate in any proceedings
               relating to such claim;

     provided, however, that the Company shall bear and pay directly all costs
     and expenses (including additional interest and penalties) incurred in
     connection

                                      -7-
<PAGE>

     with such contest and shall indemnify and hold the Executive harmless, on
     an after-tax basis, for any Excise Tax or income tax (including interest
     and penalties with respect thereto) imposed as a result of such
     representation and payment of costs and expenses.  Without limitation on
     the foregoing provisions of this Section 6.2(C), the Company shall control
     all proceedings taken in connection with such contest and, at its sole
     option, may pursue or forego any and all administrative appeals,
     proceedings, hearings and conferences with the taxing authority in respect
     of such claim and may, at its sole option, either direct the Executive to
     pay the tax claimed and sue for a refund or contest the claim in any
     permissible manner, and the Executive agrees to prosecute such contest to a
     determination before any administrative tribunal, in a court of initial
     jurisdiction and in one or more appellate courts, as the Company shall
     determine; provided, however, that if the Company directs the Executive to
                --------  -------
     pay such claim and sue for a refund, the Company shall advance the amount
     of such payment to the Executive, on an interest-free basis, and shall
     indemnify and hold the Executive harmless, on an after-tax basis, from any
     Excise Tax or income tax (including interest or penalties with respect
     thereto) imposed with respect to such advance or with respect to any
     imputed income with respect to such advance; and further provided that any
     extension of the statute of limitations relating to payment of taxes for
     the taxable year of the Executive with respect to which such contested
     amount is claimed to be due is limited solely to such contested amount.
     Furthermore, the Company's control of the contest shall be limited to
     issues with respect to which a Gross-Up Payment would be payable hereunder
     and the Executive shall be entitled to settle or contest, as the case may
     be, any other issue raised by the Internal Revenue Service or any other
     taxing authority.

               (D) If, after the receipt by the Executive of an amount advanced
     by the Company pursuant to Section 6.2(C), the Executive becomes entitled
     to receive any refund with respect to such claim, the Executive shall
     (subject to the Company's complying with the requirements of Section
     6.2(C)) promptly pay to the Company the amount of such refund (together
     with any interest paid or credited thereon after taxes applicable thereto).
     If, after the receipt by the Executive of an amount advanced by the Company
     pursuant to Section 6.2(C), a determination is made that the Executive
     shall not be entitled to any refund with respect to such claim and the
     Company does not notify the Executive in writing of its intent to contest
     such denial of refund prior to the expiration of 30 days after such
     determination, then such advance shall be forgiven and shall not be
     required to be repaid and the amount of such advance shall offset, to the
     extent thereof, the amount of Gross-Up Payment required to be paid.

          6.3. The payments provided for in subsections (A), (B), (C), (D) and
(G) of Section 6.1 hereof shall be made not later than the thirtieth (30th) day
following the Date of Termination; provided, however, that if the amounts of
                                   --------  -------
such payments cannot be finally determined on or before such day, the Company
shall pay to the Executive on such day an estimate, as determined in good faith
by the Executive of the minimum

                                      -8-
<PAGE>

amount of such payments to which the Executive is clearly entitled and shall pay
the remainder of such payments (together with interest at 120% of the rate
provided in Section 1274(b)(2)(B) of the Code) as soon as the amount thereof can
be determined but in no event later than the thirtieth (30th) day after the Date
of Termination; provided, however, that in the event the Executive becomes
                --------
entitled to Severance Payments pursuant to the second sentence of Section 6.1
(except for a termination occurring with respect to clause (iv) of such
sentence, which shall be paid as set forth above) such payments shall be due and
payable within thirty (30) days following the actual Change in Control that
triggered the Severance Payments.  In the event that the amount of the estimated
payments exceeds the amount subsequently determined to have been due, such
excess shall constitute a loan by the Company to the Executive, payable on the
fifth (5th) business day after demand by the Company (together with interest at
120% of the rate provided in Section 1274(b)(2)(B) of the Code).  In the event
the Company should fail to pay when due the amounts described in subsections
(A), (B), (C), (D) and (G) of Section 6.1 hereof, the Executive shall also be
entitled to receive from the Company an amount representing interest on any
unpaid or untimely paid amounts from the due date, as determined under this
Section 6.3 (without regard to any extension of the Date of Termination pursuant
to Section 7.3 hereof), to the date of payment at a rate equal to 120% of the
rate provided in Section 1274(b)(2)(B) of the Code.

               6.4. The Company also shall pay to the Executive all legal fees
and expenses incurred by the Executive in disputing in good faith any issue
hereunder relating to the termination of the Executive's employment, in seeking
in good faith to obtain or enforce any benefit or right provided by this
Agreement or in connection with any tax audit or proceeding to the extent
attributable to the application of Section 4999 of the Code to any payment or
benefit provided hereunder. Such payments shall be made within five (5) business
days after delivery of the Executive's written requests for payment accompanied
with such evidence of fees and expenses incurred as the Company reasonably may
require.

               7.   Termination Procedures and Compensation During Dispute.
                    ------------------------------------------------------

               7.1. Notice of Termination. After a Potential Change in Control
                    ---------------------
or, if there is no Potential Change in Control, after a Change in Control and
during the term of this Agreement, any purported termination of the Executive's
employment (other than by reason of death) shall be communicated by written
Notice of Termination from one party hereto to the other party hereto in
accordance with Section 11 hereof. For purposes of this Agreement, a "Notice of
Termination" shall mean a notice which shall indicate the specific termination
provision in this Agreement relied upon and shall set forth in reasonable detail
the facts and circumstances claimed to provide a basis for termination of the
Executive's employment under the provision so indicated. Further, a Notice of
Termination for Cause is required to include a copy of a resolution duly adopted
by the affirmative vote of not less than three-quarters (3/4) of the entire
membership of the Board at a meeting of the Board which was called and held for
the purpose of considering such termination (after reasonable notice to the
Executive and

                                      -9-
<PAGE>

an opportunity for the Executive, together with the Executive's counsel, to be
heard before the Board) finding that, in the good-faith opinion of the Board,
the Executive was guilty of conduct set forth in clause (i) or (ii) of the
definition of Cause herein, and specifying the particulars thereof in detail.

               7.2. Date of Termination. "Date of Termination," with respect to
                    -------------------
any purported termination of the Executive's employment after a Change in
Control and during the term of this Agreement, shall mean (i) if the Executive's
employment is terminated for Disability, thirty (30) days after Notice of
Termination is given (provided that the Executive shall not have returned to the
full-time performance of the Executive's duties during such thirty (30) day
period), and (ii) if the Executive's employment is terminated for any other
reason, the date specified in the Notice of Termination (which, in the case of a
termination by the Company, shall not be less than thirty (30) days (except in
the case of a termination for Cause) and, in the case of a termination by the
Executive, shall not be less than fifteen (15) days nor more than sixty (60)
days, respectively, from the date such Notice of Termination is given).

               7.3. Dispute Concerning Termination. If within fifteen (15) days
                    ------------------------------
after any Notice of Termination is given, or, if later, prior to the Date of
Termination (as determined without regard to this Section 7.3), the party
receiving such Notice of Termination notifies the other party that a dispute
exists concerning the termination, the Date of Termination shall be extended
until the date on which the dispute is finally resolved, either by mutual
written agreement of the parties or by a final judgment, order or decree of an
arbitrator or a court of competent jurisdiction (which is not appealable or with
respect to which the time for appeal therefrom has expired and no appeal has
been perfected); provided, however, that the Date of Termination shall be
                 --------  -------
extended by a notice of dispute given by the Executive only if such notice is
given in good faith and the Executive pursues the resolution of such dispute
with reasonable diligence.

               7.4. Compensation During Dispute. If a purported termination
                    ---------------------------
occurs following a Change in Control and during the term of this Agreement and
the Date of Termination is extended in accordance with Section 7.3 hereof, the
Company shall continue to pay the Executive the full compensation in effect when
the notice giving rise to the dispute was given (including, but not limited to,
salary) and continue the Executive as a participant in all compensation, benefit
and insurance plans in which the Executive was participating when the notice
giving rise to the dispute was given, until the Date of Termination, as
determined in accordance with Section 7.3 hereof. Amounts paid under this
Section 7.4 are in addition to all other amounts due under this Agreement and
shall not be offset against or reduce any other amounts due under this
Agreement.

                                      -10-
<PAGE>

               8.    Acceleration of Certain Stock-Based Benefits.
                     --------------------------------------------

               (A)   Upon the occurrence of a Change in Control, all unvested
options with respect to the Company's stock held by the Executive shall vest and
become immediately exercisable and will be exercisable for a period ending on
the later of (i) the fifth anniversary of such Change in Control or (ii) the
last date that such option would otherwise be exercisable under the terms of the
option agreement or the plan pursuant to which such option was granted;
provided, that in no event shall any option be exercisable after the expiration
of the original term of the option.

               (B)   Upon the occurrence of a Change in Control, all unearned
performance restricted shares held by the Executive under the Company's Stock
Plan shall be deemed to have been earned to the maximum extent permitted under
the Stock Plan for any performance period not then completed and all earned but
unvested performance restricted shares, including those deemed to be earned
pursuant to this sentence, and all unvested restricted stock awards shall
immediately vest and the restrictions on all shares subject to restriction shall
lapse.

               (C)   For purposes of the Stock Plan and any stock option plan
pursuant to which any stock options, performance restricted shares or restricted
stock awards have been issued, this Agreement, which has been approved by the
Management Development and Compensation Committee of the Board, shall constitute
an amendment of the agreement or other instruments pursuant to which such stock
options, performance restricted shares and restricted stock awards were issued
in accordance with the terms of such plans. Notwithstanding the foregoing, in
the event that this Section 8(C) is determined for any reason to be inconsistent
with the terms of any plan pursuant to which such stock options, performance
restricted shares and restricted stock awards were issued, the terms of this
Agreement shall supersede the terms of such plan.

               9.    No Mitigation. The Company agrees that, if the Executive's
                     -------------
employment with the Company terminates during the term of this Agreement, the
Executive is not required to seek other employment or to attempt in any way to
reduce any amounts payable to the Executive by the Company pursuant to Section 6
hereof or Section 7.4 hereof. Further, the amount of any payment or benefit
provided for in this Agreement (other than Section 6.1(E) hereof) shall not be
reduced by any compensation earned by the Executive as the result of employment
by another employer, by retirement benefits, by offset against any amount
claimed to be owed by the Executive to the Company, or otherwise.

               10.   Successors; Binding Agreement.
                     -----------------------------

               10.1. In addition to any obligations imposed by law upon any
successor to the Company, the Company will require any successor (whether direct
or indirect, by purchase, merger, consolidation or otherwise) to all or
substantially all of the business

                                      -11-
<PAGE>

and/or assets of the Company to expressly assume and agree to perform this
Agreement in the same manner and to the same extent that the Company would be
required to perform it if no such succession had taken place.  Failure of the
Company to obtain such assumption and agreement prior to the effectiveness of
any such succession shall be a breach of this Agreement and shall entitle the
Executive to compensation from the Company in the same amount and on the same
terms as the Executive would be entitled to hereunder if the Executive were to
terminate the Executive's employment for Good Reason after a Change in Control,
except that, for purposes of implementing the foregoing, the date on which any
such succession becomes effective shall be deemed the Date of Termination.

               10.2. This Agreement shall inure to the benefit of and be
enforceable by the Executive's personal or legal representatives, executors,
administrators, successors, heirs, distributees, devisees and legatees. If the
Executive shall die while any amount would still be payable to the Executive
hereunder (other than amounts which, by their terms, terminate upon the death of
the Executive) if the Executive had continued to live, all such amounts, unless
otherwise provided herein, shall be paid in accordance with the terms of this
Agreement to the executors, personal representatives or administrators of the
Executive's estate.

               11. Notices. For the purpose of this Agreement, notices and all
                   -------
other communications provided for in the Agreement shall be in writing and shall
be deemed to have been duly given when delivered or mailed by United States
registered mail, return receipt requested, postage prepaid, addressed, if to the
Executive, to the address shown for the Executive in the personnel records of
the Company and, if to the Company, to the address set forth below, or to such
other address as either party may have furnished to the other in writing in
accordance herewith, except that notice of change of address shall be effective
only upon actual receipt:

                     To the Company:

                     Armstrong World Industries, Inc.
                     2500 Columbia Avenue
                     Lancaster, Pennsylvania  17603
                     Attention:  General Counsel

               12.   Miscellaneous. No provision of this Agreement may be
                     -------------
modified, waived or discharged unless such waiver, modification or discharge is
agreed to in writing and signed by the Executive and such officer as may be
specifically designated by the Board. No waiver by either party hereto at any
time of any breach by the other party hereto of, or of any lack of compliance
with, any condition or provision of this Agreement to be performed by such other
party shall be deemed a waiver of similar or dissimilar provisions or conditions
at the same or at any prior or subsequent time. This

                                      -12-
<PAGE>

Agreement supersedes any other agreements or representations, oral or otherwise,
express or implied, with respect to the subject matter hereof which have been
made by either party.  The validity, interpretation, construction and
performance of this Agreement shall be governed by the laws of the Commonwealth
of Pennsylvania.  All references to sections of the Exchange Act or the Code
shall be deemed also to refer to any successor provisions to such sections.  Any
payments provided for hereunder shall be paid net of any applicable withholding
required under federal, state or local law and any additional withholding to
which the Executive has agreed.  The obligations of the Company and the
Executive under Sections 6 and 7 hereof shall survive the expiration of the term
of this Agreement.  If the Executive elects not to enter into this Agreement, he
will continue to be eligible for change in control benefits provided under the
Company's Employment Protection Plan (if applicable), Retirement Income Plan and
long-term incentive plans.  The Executive agrees that this Agreement replaces
the benefits to which he may otherwise be entitled to under the Company's
Employment Protection Plan for salaried employees.  The Company agrees that it
will not argue in any form for any purpose that this Agreement constitutes an
"employee benefit plan" within the meaning of Section 3(3) of the Employee
Retirement Income Security Act of 1974, as amended.

               13.  Validity. The invalidity or unenforceability of any
                    --------
provision of this Agreement shall not affect the validity or enforceability of
any other provision of this Agreement, which shall remain in full force and
effect.

               14.  Counterparts. This Agreement may be executed in several
                    ------------
counterparts, each of which shall be deemed to be an original but all of which
together will constitute one and the same instrument.

               15.  Settlement of Disputes; Arbitration. All claims by the
                    -----------------------------------
Executive for benefits under this Agreement shall be directed in writing to and
determined by the Committee, which shall give full consideration to the
evidentiary standards set forth in this Agreement. Any denial by the Committee
of a claim for benefits under this Agreement shall be delivered to the Executive
in writing and shall set forth the specific reasons for the denial and the
specific provisions of this Agreement relied upon. The Committee shall afford a
reasonable opportunity to the Executive for a review of the decision denying a
claim and shall further allow the Executive to appeal to the Committee a
decision of the Committee within sixty (60) days after notification by the
Committee that the Executive's claim has been denied. Any further dispute or
controversy arising under or in connection with this Agreement shall be settled
exclusively by arbitration in Allegheny County, Pennsylvania in accordance with
the rules of the American Arbitration Association then in effect; provided,
                                                                  --------
however, that the evidentiary standards set forth in this Agreement shall apply.
-------
Judgment may be entered on the arbitrator's award in any court having
jurisdiction. Notwithstanding any provision of this Agreement to the contrary,
the Executive shall be entitled to seek

                                      -13-
<PAGE>

specific performance of the Executive's right to be paid until the Date of
Termination during the pendency of any dispute or controversy arising under or
in connection with this Agreement.

               16.  Definitions. For purposes of this Agreement, the following
                    -----------
terms shall have the meanings indicated below:

                    (A) "Accounting Firm" shall have the meaning stated in
     Section 6.2(B) hereof.

                    (B) "Beneficial Owner" shall have the meaning set forth in
     Rule 13d-3 under the Exchange Act.

                    (C) "Board" shall mean the Board of Directors of the
     Company.

                    (D) "Cause" for termination by the Company of the
     Executive's employment shall mean (i) the deliberate and continued failure
     by the Executive to devote substantially all the Executive's business time
     and best efforts to the performance of the Executive's duties after a
     demand for substantial performance is delivered to the Executive by the
     Board which specifically identifies the manner in which the Executive has
     not substantially performed such duties; (ii) the deliberate engaging by
     the Executive in gross misconduct which is demonstrably and materially
     injurious to the Company, monetarily or otherwise, including but not
     limited to fraud or embezzlement by the Executive; or (iii) the Executive's
     conviction (or entering into a plea bargain admitting guilt) of any felony.
     For the purposes of this Agreement, no act, or failure to act, on the part
     of the Executive shall be considered "deliberate" unless done, or omitted
     to be done, by the Executive not in good faith and without reasonable
     belief that such action or omission was in the best interests of the
     Company. In the event of a dispute concerning the application of this
     provision, no claim by the Company that Cause exists shall be given effect
     unless the Company establishes to the Committee by clear and convincing
     evidence that Cause exists.

                    (E) A "Change in Control" shall be deemed to have occurred
     if the event set forth in any one of the following paragraphs shall have
     occurred:

                            (I)    any Person is or becomes the Beneficial
                    Owner, directly or indirectly, of securities of the Company
                    (not including in the securities beneficially owned by such
                    Person any securities acquired directly from the Company or
                    its affiliates) representing 20% or more of either the then
                    outstanding shares of common stock of the Company or the
                    combined voting power of the Company's then outstanding
                    securities, excluding any Person who becomes such a
                    Beneficial Owner in connection with a transaction described
                    in clause (i) of paragraph (III) below; or

                                      -14-
<PAGE>

                            (II)   the following individuals cease for any
                    reason to constitute a majority of the number of directors
                    then serving: individuals who, on the date hereof,
                    constitute the Board and any new director (other than a
                    director whose initial assumption of office is in connection
                    with an actual or threatened election contest, including but
                    not limited to a consent solicitation, relating to the
                    election of directors of the Company) whose appointment or
                    election by the Board or nomination for election by the
                    Company's shareholders was approved by a vote of at least
                    two-thirds (2/3) of the directors then still in office who
                    either were directors on the date hereof or whose
                    appointment, election or nomination for election was
                    previously so approved; or

                            (III)  there is consummated a merger or
                    consolidation of the Company (including a triangular merger
                    to which the Company is a party) with any other corporation
                    other than (i) a merger or consolidation which would result
                    in the voting securities of the Company outstanding
                    immediately prior to such merger or consolidation continuing
                    to represent (either by remaining outstanding or by being
                    converted into voting securities of the surviving entity or
                    any parent thereof) at least 66 2/3% of the combined voting
                    power of the voting securities of the Company or such
                    surviving entity or any parent thereof outstanding
                    immediately after such merger or consolidation, or (ii) a
                    merger or consolidation effected to implement a
                    recapitalization of the Company (or similar transaction) in
                    which no Person is or becomes the Beneficial Owner, directly
                    or indirectly, of securities of the Company (not including
                    in the securities Beneficially Owned by such Person any
                    securities acquired directly from the Company or its
                    subsidiaries) representing 20% or more of either the then
                    outstanding shares of common stock of the Company or the
                    combined voting power of the Company's then outstanding
                    securities; or

                            (IV)   the shareholders of the Company approve a
                    plan of complete liquidation or dissolution of the Company
                    or there is consummated an agreement for the sale or
                    disposition by the Company of all or substantially all of
                    the Company's assets, other than a sale or disposition by
                    the Company of all or substantially all of the Company's
                    assets to an entity, at least 75% of the combined voting
                    power of the voting securities of which are owned by
                    shareholders of the Company in substantially the same
                    proportions as their ownership of the Company immediately
                    prior to such sale. Notwithstanding the foregoing, no
                    "Change in Control" shall be deemed to have occurred if
                    there is consummated

                                      -15-
<PAGE>

                    any transaction or series of integrated transactions
                    immediately following which the record holders of the common
                    stock of the Company immediately prior to such transaction
                    or series of transactions continue to have substantially the
                    same proportionate ownership in an entity which owns all or
                    substantially all of the assets of the Company immediately
                    following such transaction or series of transactions.

                    (F)  "Change in Control Salary" shall have the meaning
     stated in Section 6.1 hereof.

                    (G)  "Change in Control Bonus" shall have the meaning stated
     in Section 6.1 hereof.

                    (H)  "Code" shall mean the Internal Revenue Code of 1986, as
     amended from time to time.

                    (I)  "Committee" shall mean (i) the individuals (not fewer
     than three in number) who, on the date six (6) months before a Change in
     Control, constitute the Management Development and Compensation Committee
     of the Board, plus (ii) in the event that fewer than three individuals are
     available from the group specified in clause (i) above for any reason, such
     individuals as may be appointed by the individual or individuals so
     available (including for this purpose any individual or individuals
     previously so appointed under this clause (ii)).

                    (J)  "Company" shall mean Armstrong World Industries, Inc.
     and, except in determining under Section 16(E) hereof whether or not any
     Change in Control of the Company has occurred, shall include its
     subsidiaries and any successor to its business and/or assets which assumes
     and agrees to perform this Agreement by operation of law, or otherwise.

                    (K)  "Date of Termination" shall have the meaning stated in
     Section 7.2 hereof.

                    (L)  "Disability" shall be deemed the reason for the
     termination by the Company of the Executive's employment, if, as a result
     of the Executive's incapacity due to physical or mental illness, the
     Executive shall have been absent from the full-time performance of the
     Executive's duties with the Company for a period of six (6) consecutive
     months, the Company shall have given the Executive a Notice of Termination
     for Disability, and, within thirty (30) days after such Notice of
     Termination is given, the Executive shall not have returned to the full-
     time performance of the Executive's duties.

                    (M)  "Exchange Act" shall mean the Securities Exchange Act
     of 1934, as amended from time to time.

                                      -16-
<PAGE>

                    (N)  "Excise Tax" shall have the meaning stated in Section
     6.2(A) hereof.

                    (O)  "Executive" shall mean the individual named in the
     first paragraph of this Agreement.

                    (P)  "Good Reason" for termination by the Executive of the
     Executive's employment shall mean the occurrence (without the Executive's
     express written consent) after any Change in Control, or prior to a Change
     in Control under the circumstances described in clauses (ii) or (iii) of
     the second sentence of Section 6.1 hereof (treating all references in
     paragraphs (I) through (VII) below to a "Change in Control" as references
     to a "Potential Change in Control"), of any one of the following acts by
     the Company, or failures by the Company to act, unless, in the case of any
     act or failure to act described in paragraph (I), (V) , (VI) or (VII)
     below, such act or failure to act is corrected prior to the Date of
     Termination specified in the Notice of Termination given in respect
     thereof:

                              (I)    the assignment to the Executive of any
                    duties inconsistent with the Executive's status as an
                    executive officer of the Company or a substantial adverse
                    alteration in the nature or status of the Executive's
                    responsibilities from those in effect immediately prior to
                    the Change in Control;

                              (II)   a reduction by the Company in the
                    Executive's annual base salary as in effect on the date
                    hereof or as the same may be increased from time to time
                    except for (i) across-the-board salary reductions similarly
                    affecting all salaried employees of the Company or (ii)
                    across-the-board salary reductions similarly affecting all
                    senior executive officers of the Company and all senior
                    executives of any Person in control of the Company;

                              (III)  the relocation of the Executive's principal
                    place of employment to a location more than 50 miles from
                    the Executive's principal place of employment immediately
                    prior to the Change in Control (unless such relocation is
                    closer to the Executive's principal residence) or the
                    Company's requiring the Executive to be based anywhere other
                    than such principal place of employment (or permitted
                    relocation thereof) except for required travel on the
                    Company's business to an extent substantially consistent
                    with the Executive's present business travel obligations;

                              (IV)   the failure by the Company, to pay to the
                    Executive any portion of the Executive's current
                    compensation or to pay to the Executive any portion of an
                    installment of deferred

                                      -17-
<PAGE>

                    compensation under any deferred compensation program of the
                    Company, within seven (7) days of the date such compensation
                    is due;

                              (V)    the failure by the Company to continue in
                    effect any compensation plan in which the Executive
                    participates immediately prior to the Change in Control
                    which is material to the Executive's total compensation,
                    including but not limited to the Company's Base Salary Plan,
                    Management Achievement Plan, 1984 Long-Term Stock Option
                    Plan for Key Employees, 1993 Long-Term Stock Incentive Plan,
                    1999 Long-Term Incentive Plan, Armstrong Deferred
                    Compensation Plan, Retirement Income Plan and Retirement
                    Benefit Equity Plan, unless an equitable arrangement
                    (embodied in an ongoing substitute or alternative plan) has
                    been made with respect to such plan, or the failure by the
                    Company to continue the Executive's participation therein
                    (or in such substitute or alternative plan) on a basis not
                    materially less favorable, both in terms of the amount or
                    timing of payment of benefits provided and the level of the
                    Executive's participation relative to other participants, as
                    existed immediately prior to the Change in Control;

                              (VI)   the failure by the Company to continue to
                    provide the Executive with benefits substantially similar to
                    those enjoyed by the Executive under any of the Company's
                    pension, savings, life insurance, medical, health and
                    accident, or disability plans in which the Executive was
                    participating immediately prior to the Change in Control,
                    the taking of any action by the Company which would directly
                    or indirectly materially reduce any of such benefits or
                    deprive the Executive of any material fringe benefit enjoyed
                    by the Executive at the time of the Change in Control, or
                    the failure by the Company to provide the Executive with the
                    number of paid vacation days to which the Executive is
                    entitled on the basis of years of service with the Company
                    in accordance with the Company's normal vacation policy in
                    effect at the time of the Change in Control; or

                              (VII)  any purported termination of the
                    Executive's employment which is not effected pursuant to a
                    Notice of Termination satisfying the requirements of Section
                    7.1 hereof; for purposes of this Agreement, no such
                    purported termination shall be effective.

                    Notwithstanding anything herein to the contrary, a
     termination of employment by the Executive for any reason during the 30-day
     period commencing on the one (1) year anniversary of a Change in Control
     shall

                                      -18-
<PAGE>

     constitute Good Reason; provided, however, that solely for purposes of this
                             --------  -------
     paragraph, the term Change in Control shall include a merger described by
     Section 16(E)(III) in which the Company is the surviving corporation or
     parent corporation and the holders of the voting securities of the Company
     outstanding immediately prior to such merger represent less than 66 2/3% of
     the combined voting power of the securities of the Company outstanding
     immediately after such merger, only if an event described in Section
     16(E)(II) also occurs.

               The Executive's right to terminate the Executive's employment for
     Good Reason shall not be affected by the Executive's incapacity due to
     physical or mental illness.  The Executive's continued employment shall not
     constitute consent to, or a waiver of rights with respect to, any act or
     failure to act constituting Good Reason hereunder.  For purposes of any
     determination regarding the existence of Good Reason, any claim by the
     Executive that Good Reason exists shall be presumed to be correct unless
     the Company establishes to the Committee by clear and convincing evidence
     that Good Reason does not exist.

               (Q)  "Gross-Up Payment" shall have the meaning stated in Section
     6.2(A) hereof.

               (R)  "Notice of Termination" shall have the meaning stated in
     Section 7.1 hereof.

               (S)  "Payment" shall have the meaning stated in Section 6.2(A)
     hereof.

               (T)  "Pension Plan" shall mean any tax-qualified, supplemental or
     excess benefit pension plan maintained by the Company and any other
     agreement entered into between the Executive and the Company which is
     designed to provide the Executive with supplemental retirement benefits.

               (U)  "Person" shall have the meaning given in Section 3(a)(9) of
     the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof,
     except that such term shall not include (i) the Company or any of its
     subsidiaries, (ii) a trustee or other fiduciary holding securities under an
     employee benefit plan of the Company or any of its subsidiaries, (iii) an
     underwriter temporarily holding securities pursuant to an offering of such
     securities, (iv) 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, or (v) an entity or entities which are
     eligible to file and have filed a Schedule 13G under Rule 13d-l(b) of the
     Exchange Act, which Schedule indicates beneficial ownership of 15% or more
     of the outstanding shares of common stock of the Company or the combined
     voting power of the Company's then outstanding securities.

                                      -19-
<PAGE>

               (V)  "Potential Change in Control" shall be deemed to have
     occurred if the event set forth in any one of the following paragraphs
     shall have occurred:

                         (I)   the Company enters into an agreement, the
               consummation of which would result in the occurrence of a Change
               in Control;

                         (II)  the Company or any Person publicly announces an
               intention to take or to consider taking actions which, if
               consummated, would constitute a Change in Control; or

                         (III) any Person becomes the Beneficial Owner, directly
               or indirectly, of securities of the Company representing 15% or
               more of either the then outstanding shares of common stock of the
               Company or the combined voting power of the Company's then
               outstanding securities (not including in the securities
               beneficially owned by such Person any securities acquired
               directly from the Company or its affiliates).

               (W)  "Severance Payments" shall mean those payments described in
     Section 6.1 hereof.

               (X)  "Stock Plan" shall mean the Company's Long-Term Stock
     Incentive Plan, as the same may be amended from time to time, and any
     successor plan to such plan.

               (Y)  "Underpayment" shall have the meaning stated in Section
     6.2(B) hereof.

                            ARMSTRONG WORLD INDUSTRIES, INC.

                            By:___________________________________
                            Name: ((ByName))
                            Title:  ((ByTitle))

                            ______________________________________
                                   ((FirstName)) ((LastName))

                                      -20-
<PAGE>

                            Exhibit No. 10(iii)(k)

                       SCHEDULE OF PARTICIPATING OFFICERS

The Company has entered into substantially similar agreements with certain of
its officers, including George A. Lorch, Marc R. Olivie, Robert J. Shannon,
Douglas L. Boles, Deborah K. Owen, Frank A. Riddick, III, William C. Rodruan, E.
Follin Smith, Floyd F. Sherman, and Stephen E. Stockwell.  Ms. Owen's agreement
has been modified in that it does not include Section 6.1(C); Mr. Sherman's
agreement has been modified in that it does not include Sections 6.1(C) & (D);
Mr. Rodruan's agreement has been modified in that Section 6.1(A) has been
modified to provide a 2X multiplier, and Section 16(P) has been modified to
remove the "modified single trigger" provision; Ms. Smith's agreement has been
modified in that Section 6.1(A) has been modified to provide a 2X multiplier, it
does not include Section 6.1(C), and Section 16(P) has been modified to remove
the "modified single trigger" provision.

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