Document:

Exhibit 4.5

 

GRANTED

 

IN THE COURT
OF CHANCERY OF THE STATE OF DELAWARE

 

	
  CME GROUP
  INC., a Delaware corporation,

  	
  )

  	
   

  	
   

  
	
  as successor
  by merger to the CBOT HOLDINGS,

  	
  )

  	
   

  	
   

  
	
  INC., a
  Delaware corporation; THE BOARD OF

  	
  )

  	
   

  	
   

  
	
  TRADE OF THE
  CITY OF CHICAGO, INC.,

  	
  )

  	
   

  	
   

  
	
  a Delaware
  corporation; and MICHAEL

  	
  )

  	
   

  	
   

  
	
  FLOODSTRAND
  and THOMAS J. WARD

  	
  )

  	
   

  	
   

  
	
  and All
  Others Similarly Situated,

  	
  )

  	
   

  	
   

  
	
   

  	
  )

  	
   

  	
   

  
	
  Plaintiffs,

  	
  )

  	
   

  	
   

  
	
  v.

  	
  )

  	
   

  	
   

  
	
   

  	
  )

  	
   

  	
   

  
	
  CHICAGO
  BOARD OPTIONS EXCHANGE,

  	
  )

  	
   

  	
  Civil Action
  No. 2369-VCN

  
	
  INC., a
  Delaware non-stock corporation,

  	
  )

  	
   

  	
   

  
	
  WILLIAM J.
  BRODSKY, JOHN E. SMOLLEN,

  	
  )

  	
   

  	
   

  
	
  ROBERT J.
  BIRNBAUM, JAMES R. BORIS,

  	
  )

  	
   

  	
   

  
	
  MARK F.
  DUFFY, DAVID FISHER,

  	
  )

  	
   

  	
   

  
	
  JONATHAN G.
  FLATOW, JANET P.

  	
  )

  	
   

  	
   

  
	
  FROETSCHER,
  BRADLEY G. GRIFFITH,

  	
  )

  	
   

  	
   

  
	
  PAUL J.
  JIGANTI, PAUL KEPES, STUART K.

  	
  )

  	
   

  	
   

  
	
  KIPNES,
  DUANE R. KULLBERG, JAMES P.

  	
  )

  	
   

  	
   

  
	
  MacGILVRAY,
  JR., ANTHONY D. MCCORMICK,

  	
  )

  	
   

  	
   

  
	
  R. EDEN
  MARTIN, KEVIN MURPHY,

  	
  )

  	
   

  	
   

  
	
  RODERICK
  PALMORE, THOMAS H.

  	
  )

  	
   

  	
   

  
	
  PATRICK,
  JR., SUSAN M. PHILLIPS,

  	
  )

  	
   

  	
   

  
	
  WILLIAM R.
  POWER, SAMUEL K. SKINNER,

  	
  )

  	
   

  	
   

  
	
  CAROLE E.
  STONE, HOWARD L. STONE,

  	
  )

  	
   

  	
   

  
	
  and EUGENE
  S. SUNSHINE,

  	
  )

  	
   

  	
   

  
	
   

  	
  )

  	
   

  	
   

  
	
  Defendants.

  	
  )

  	
   

  	
   

  

 

ORDER OF APPROVAL AND FINAL JUDGMENT

 

The Stipulation of Settlement dated August 20,
2008, as amended on September 30, 2008 and October 6, 2008 (the “Stipulation”),
of this class action (the “Action”), and the settlement contemplated thereby
having been presented at the Settlement Hearing on December 16, 2008,
pursuant to the Scheduling Order entered herein on August 22, 2008, as
amended on October 1, 

 

 

2008 and October 8,
2008 (the “Scheduling Order”), Plaintiffs CME Group, Inc. (“CME”), the
Board of Trade of the City of Chicago, Inc. (“Board of Trade”), Michael
Floodstrand and Thomas J. Ward (“Floodstrand” and “Ward”) (collectively, the “Plaintiffs”)
and Defendants Chicago Board Options Exchange, Incorporated (“CBOE”), William
J. Brodsky, John E. Smollen, Robert J. Birnbaum, James R. Boris, Mark F. Duffy,
David Fisher, Jonathan G. Flatow, Janet P. Froetscher, Bradley G. Griffith,
Paul J. Jiganti, Paul Kepes, Stuart K. Kipnes, Duane R. Kullberg, James P.
MacGilvray, Jr., Anthony D. McCormick, R. Eden Martin, Kevin Murphy,
Roderick Palmore, Thomas H. Patrick, Jr., Susan M. Phillips, William R.
Power, Samuel K. Skinner, Carol E. Stone, Howard L. Stone, and Eugene S.
Sunshine, (collectively, the “Defendants”) (together with Plaintiffs,
collectively the “Parties”), having applied pursuant to Court of Chancery Rule 23(e) for
an order approving the proposed settlement of the above-captioned putative
class action (the “Action”) and determining certain matters in connection with
the proposed settlement of the Action (the “Settlement”) and for dismissal of
the Action, in accordance with the terms and conditions of the Stipulation
entered into by the Parties in the Action and which is incorporated herein by
reference; and the Court having determined that notice of said hearing was
given to the Settlement Class in accordance with the Scheduling Order and
that said notice was adequate and sufficient; and the Parties having appeared
by their attorneys of record; and the attorneys for the respective Parties
having been heard in support of the Settlement of the Action, and an
opportunity to be heard having been given to all other persons desiring to be
heard as provided in the notice; and the entire matter of the Settlement having
been considered by the Court;

 

IT IS HEREBY ORDERED, ADJUDGED AND DECREED,
this                   
day of                   ,
2009 as follows:

 

2

 

1.             Terms used in this Order that are not otherwise defined
shall have the meaning given to them in the Stipulation.

 

2.             The Notice of Pendency of Class Action, Proposed
Settlement of Class Action, Settlement Hearing and Right to Appear and the
Summary Notice of Pending Class Action and Proposed Settlement
(collectively, the “Notice”) have been given to the Settlement Class (as
defined below) pursuant to, and in the manner directed by, the Scheduling
Order, proof of the mailing and publication of the Notice has been filed with
the Court and a full opportunity to be heard has been offered to all Parties to
the Action, the Settlement Class and persons in interest.  The form of, and the manner of giving, the
Notice is hereby determined to have provided the best notice practicable under
the circumstances and to have been given in full compliance with each of the
requirements of Delaware Court of Chancery Rule 23 and due process, and it
is further determined that all members of the Class are bound by the Order
and Final Judgment herein.

 

3.             The Court hereby fords, pursuant to Court of Chancery Rules 23(a),
23(b)(1) and (b)(2), as follows:

 

a.             that (i) the Settlement Class, as defined below, is
so numerous that joinder of all members is impracticable, (ii) there are
questions of law and fact common to the Settlement Class, (iii) the claims
of Plaintiffs are typical of the claims of the Settlement Class, and (iv) Plaintiffs
and their counsel have fairly and adequately protected the interests of the
Settlement Class;

 

b.             that the requirements of Court of Chancery Rules 23(a) and
23(b)(1) and (b)(2) have been satisfied;

 

c.             that the requirements of the Delaware Court of Chancery Rules and
due process have been satisfied in connection with the Notice;

 

3

 

d.             that the Action is hereby certified as a non-opt out
class action on behalf of a Settlement Class consisting of (A) all
persons who at any time prior to August 22, 2008 simultaneously
beneficially owned or possessed by delegation (i) at least one B-1
Membership, (ii) at least one Exercise Right Privilege, and (iii) at
least 27,338 shares of CBOT Holdings Common Stock or, after consummation of the
CME Transaction, at least 10,251.75 shares of CME Group Common Stock (the “Group
A Settlement Class”), and (B) all persons who owned of record at least one
Exercise Right Privilege as of 5:00 p.m., Chicago time, on the Eligibility
Date (October 14, 2008) and their transferees and assigns (the “Group B
Settlement Class”), including any and all of their respective successors in
interest, predecessors, representatives, trustees, executors, administrators,
heirs, assigns or transferees, immediate and remote, and any person or entity
acting for or on behalf of, or claiming under any of them, and each of them
(the Group A Settlement Class and the Group B Settlement Class are
collectively referred to as the “Settlement Class”).

 

e.             that Plaintiffs Floodstrand and Ward are hereby
certified as the Class representatives of the Group A Settlement Class and
Plaintiff the Board of Trade is hereby certified as the Class representative
of the Group B Settlement Class, respectively.

 

f.              that counsel of record for Plaintiffs Floodstrand and
Ward, Gordon B. Nash, Jr. of Drinker Biddle & Reath LLP and Andre
G. Bouchard of Bouchard, Margules & Friedlander, P.A. are hereby
certified as Group A Settlement Class counsel and have fairly and
adequately represented the Group A Settlement Class, and that counsel of record
for the Board of Trade, Peter B. Carey of the Law Offices of Peter B. Carey and
Kenneth J. Nachbar of Morris, Nichols, Arsht & Tunnell LLP, are hereby
certified as Group B Settlement Class counsel and have fairly and
adequately represented the Group B Settlement Class.

 

4

 

4.             The Settlement is found to be fair, reasonable, adequate
and in the best interests of the Settlement Class, and it is hereby
approved.  The Parties are hereby
authorized and directed to comply with, and to consummate, the Settlement in accordance
with the terms and provisions of the Stipulation, and the Register in Chancery
is directed to enter and docket this Order and Final Judgment in the
Action.  All objections to the Settlement
are denied.

 

5.             The names and addresses of the members of the
Participating Group A Settlement Class and the Participating Group B
Settlement Class entitled to receive the Settlement Consideration as
provided in the Stipulation (and the number of Group A and Group B Settlement
Units held by each such member) as well as the names and addresses of the Participating
Group A Settlement Class Members who qualify for the Fee Based Payment and
the Supplemental Fee Based Payment are identified on the list attached hereto
as Exhibit A.

 

6.             The Court’s June 3, 2009 and June 25, 2009
Memorandum Opinions did not expressly address CBOE’s December 2, 2008
Objection to Classification of Donald R. Wilson, Jr. as Qualifying for the
Fee Based and the Supplemental Fee Based Payment.  The Court did hold, however, that only
individuals who became CBOE Temporary Members and who owned the Three Parts on July 11,
2007 are eligible to receive the fee based payments under the Stipulation.  Because it is undisputed that Mr. Wilson
did not personally own the Three Parts on July 11, 2007, the Court finds
that he is not eligible to receive the Fee Based and the Supplemental Fee Based
Payment and hereby sustains CBOE’s objection to Class Counsel’s initial
determination that Mr. Wilson was qualified to receive those payments.

 

7.             This Order and Final Judgment shall not constitute any
evidence or admission by any Party that any acts of wrongdoing have been
committed by any of the Parties to the Action and should not be deemed to
create any inference that there is any liability therefor.

 

5

 

8.             The Action is hereby dismissed with prejudice as to the
Defendants and against Plaintiffs and all other members of the Settlement Class on
the merits and, except as provided in the Stipulation, without costs.

 

9.             Pursuant to the terms of the Settlement, all of the
following claims (the “Settled Claims”) have been completely, fully, finally,
and forever compromised, settled, released, discharged, extinguished, and
dismissed with prejudice, as against the Released Parties (as defined in the
Stipulation and below): all claims, demands, rights, actions or causes of
action, liabilities, damages, losses, obligations, judgments, suits, fees,
expenses, costs, matters, and issues of any kind or nature whatsoever, whether
known or unknown, contingent or absolute, suspected or unsuspected, disclosed
or undisclosed, matured or unmatured, that have been, could have been, or in
the future can or might be asserted in this Action or in any court, tribunal,
or proceeding (including, but not limited to, any claims arising under federal
or state statutory or common law relating to alleged breach of any duty,
violations of state corporation law, federal securities law or otherwise) by or
on behalf of any Settlement Class Member, by or on behalf of any of the
Plaintiffs in the Action, or by any of the Defendants, whether individual,
class, derivative, representative, legal, equitable, or any other type or in
any other capacity, and based on any conduct that occurred prior to the date of
Final Approval, that was or could have been asserted against any of the
Released Parties, whether or not any such Released Party was named, served with
process, or appeared in this Action, which have arisen, could have arisen,
arise now, or may hereafter arise out of, or related in any manner to the
claims, demands, assertions, allegations, facts, events, transactions, matters,
acts, occurrences, statements, representations, misrepresentations, omissions,
or any other matter, thing, or cause whatsoever, or any series thereof,
embraced, involved, or set forth in, or referred to or otherwise related,
directly or 

 

6

 

indirectly, in any way to, this
Action, or the subject matter of this Action, and including, without
limitation, any claims (whether or not asserted) in any way related to: (i) Article Fifth(b) of
CBOE’s Certificate of Incorporation, the “Exercise Right” created by Article Fifth(b) and
any interpretation of Article Fifth(b), (ii) Sections 2.1 and 2.5 of
CBOE’s Constitution and CBOE Rules 3.16 and 3.19, (iii) Article IV(D)(2)(b)(2),
Article IV(D)(2)(c) and Article IV(F) of the Amended and
Restated Certificate of Incorporation of Board of Trade of the City of Chicago, Inc.,
(iv) CBOT Rules 128 and 106(D)(14), (v) the 1992 Agreement, (vi) the
2001 Agreement, (vii) any and all actions taken by CBOE and the CBOE Board
concerning the interpretation of Article Fifth(b) (including, but not
limited to, the CBOE Board’s decision to approve the Eligibility Rule Filing
and to submit that filing to the SEC), (viii) any and all actions taken by
CBOE and the CBOE Board concerning the interpretations of CBOE Rule 3.19
(including, but not limited to, the decisions to approve the Continued
Membership Interpretation and the Transition Rule Filing and the related filings
CBOE made with the SEC), (ix) any “state law” issues referred to in the
SEC Approval Order, (x) any “economic rights issues” raised by the Third
Amended Complaint in this Action regarding CBOE’s planned demutualization,
whether arising under state contract law, state fiduciary duty law, state
corporate law or otherwise (including, but not limited to, any claims referred
to in the Memorandum Opinions issued by the Court on August 3, 2007), (xi)
any claims related in any way to who is entitled to any consideration in
connection with the CBOE Demutualization Transaction or any CBOE Conversion
Event and the amount of such consideration, except as otherwise explicitly
provided for herein as part of the Settlement Consideration or otherwise, and
(xii) all claims, demands, rights, actions or causes of action, liabilities,
damages, losses, obligations, judgments, suits, fees, expenses, costs, matters,
and issues of any kind or nature whatsoever, whether known or 

 

7

 

unknown, contingent or absolute, suspected or
unsuspected, disclosed or undisclosed, matured or unmatured, that have been,
could have been, or in the future can or might be asserted in connection with
the Federal Appeal; provided, however, that “Settled Claims” shall not include
any claims that CBOE may have against Plaintiffs or Settlement Class Members,
in their capacity as current or former members of CBOE, as applicable, in
respect of compliance with any rule of CBOE.

 

10.           The Released Parties as to whom the
foregoing Settled Claims are released, discharged and dismissed, as set forth
in the Stipulation and as provided above, consist of the Plaintiffs and
Defendants in this Action and their respective immediate family members, their
respective present and former parents, subsidiaries, divisions, and affiliates;
the present and former employees, members, partners, principals, officers, and
directors of each of them; the present and former attorneys, advisors,
financial advisors, investment bankers, trustees, administrators, fiduciaries,
consultants, representatives, accountants and auditors, insurers, and agents of
each of them; and the predecessors, estates, heirs, executors, trusts,
trustees, administrators, successors and assigns of each.

 

11.           The release set forth in the
Stipulation and as provided above extends to claims that any person or entity
granting a release (the “Releasing Person”) does not know or suspect to exist
at the time of the release, which if known, might have affected the Releasing
Person’s decision to enter into the release. 
The Releasing Person is deemed to have relinquished, to the extent it is
applicable and to the full extent permitted by law, the provisions, rights and
benefits of Section 1542 of the California Civil Code which provides:

 

A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS
WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE
TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM 

 

8

 

OR HER MUST HAVE MATERIALLY AFFECTED HIS OR
HER SETTLEMENT WITH THE DEBTOR

 

In addition, the Releasing Person also is
deemed to have relinquished, to the extent it is applicable, and to the full
extent permitted by law, the provisions, rights and benefits of any law of any
state or territory of the United States, federal law, or principle of common
law, which is similar, comparable, or equivalent to California Civil Code §
1542.  The Releasing Persons are deemed
to have acknowledged that they may discover facts in addition to or different
from those now known or believed to be true with respect to the Settled Claims,
but that it is the intention of the Releasing Persons to hereby completely,
fully, finally and forever compromise, settle, release, discharge, and extinguish
any and all Settled Claims known or unknown, suspected or unsuspected, which
now exist, or heretofore existed, or may hereafter exist, and without regard to
the subsequent discovery or existence of additional or different facts.

 

12.           Upon Final Approval, there will no
longer be any persons eligible to become members of CBOE pursuant to Article Fifth(b) of
CBOE’s Certificate of Incorporation for any purpose, and Article Fifth(b) shall
not be deemed to provide any person the right to vote, trade or participate in
the CBOE Demutualization Transaction or a CBOE Conversion Event in that
capacity.

 

13.           Plaintiffs and all Settlement Class Members,
their respective affiliates, their successors, transferees or assigns, and
anyone claiming through or for the benefit of any of them, are barred and
enjoined from commencing, or in any way participating in the commencement of,
any new action or other proceeding, in any forum, asserting against any of the
Released Parties any of the Settled Claims, either directly, representatively,
derivatively, or in any other capacity.

 

9

 

14.           The Court has and retains exclusive
jurisdiction solely to resolve any and all disputes relating in any way to the
implementation of the Stipulation and this Order of Approval and Final
Judgment.

 

15.           By means of CBOE’s December 12,
2008 Notice of Intent to Issue Shares after Final Approval of the Settlement
Pursuant to Section 3(a)(10) of the Securities Act of 1933, the Court
has been advised that the Class B Common Stock of the CBOE Demutualization
Entity that will be issued to Participating Group A Settlement Class Members
in connection with the Settlement will be exempt from registration under Section 3(a)(10) of
the Securities Act of 1933.

 

 

	
   

  	
   

  
	
   

  	
  Vice Chancellor

  
	
   

  	
   

  

 

10

 

This document constitutes a
ruling of the court and should be treated as such.

 

Court: DE Court of Chancery Civil Action  

 

Judge: John Noble

 

File & Serve

 

Transaction ID: 26338208

 

Current Date: Jul 29, 2009

 

Case Number: 2369-VCN

 

Case Name: C B O T Holdings Inc et al vs Chicago Board Options Exchange Inc et al

 

Court Authorizer: John Noble

 

 

	
  /s/ Judge John NobleEXHIBIT 10.13

 

The CORPORATEplan for RetirementSM

EXECUTIVE PLAN

 

Adoption Agreement

 

IMPORTANT
NOTE

 

This document has not been
approved by the Department of Labor, the Internal Revenue Service or any other
governmental entity.  An Employer must
determine whether the plan is subject to the Federal securities laws and the
securities laws of the various states. 
An Employer may not rely on this document to ensure any particular tax
consequences or to ensure that the Plan is “unfunded and maintained primarily
for the purpose of providing deferred compensation to a select group of
management or highly compensated employees” under the Employee Retirement
Income Security Act with respect to the Employer’s particular situation.  Fidelity Management Trust Company, its
affiliates and employees cannot and do not provide legal or tax advice or
opinions in connection with this document. 
This document does not constitute legal or tax advice or opinions and is
not intended or written to be used, and it cannot be used by any taxpayer, for
the purposes of avoiding penalties that may be imposed on the taxpayer.  This document must be reviewed by the
Employer’s attorney prior to adoption.

 

	
  Plan Number: 44314

  	
   

  	
  ECM NQ 2007 AA

  
	
  (07/2007)

  	
   

  	
  12/12/2008

  
	
  © 2007 Fidelity
  Management & Research Company

  

 

 

ADOPTION
AGREEMENT

ARTICLE 1

1.01                           PLAN INFORMATION

 

(a)                                  Name of Plan:

 

This is the Chicago Board Option Exchange Executive Retirement Plan
(the “Plan”).

 

(b)                                 Plan Status (Check one.):

 

(1)                                  Adoption Agreement effective date:  01/01/2009.

 

(2)                                  The Adoption Agreement effective date is (Check (A) or check and complete (B)):

 

(A)                               ̈                                    A new Plan effective date.

 

(B)                                x                               An amendment and restatement of the Plan.  The original effective date of the Plan
was:  02/16/2005.

 

(c)                                  Name of Administrator, if not the
Employer:

 

 

 

1.02                           EMPLOYER

 

(a)                                  Employer Name:  Chicago Board Options Exchange, Inc.

 

(b)                                 The term “Employer” includes the
following Related Employer(s) (as defined in Section 2.01(a)(25))
participating in the Plan:

 

 

 

 

1.03                           COVERAGE

 

(Check (a) and/or (b).)

 

(a)          x          The
following Employees are eligible to participate in the Plan (Check (1) or (2)):

 

 

(1)           ̈            Only
those Employees designated in writing by the Employer, which writing is hereby
incorporated herein.

 

(2)          x          Only
those Employees in the eligible class described below:

 

The Chairman of
the Board of Directors, the Executive Vice Chairman, the President and each
Division Head of the Employer are eligible to participate in the Plan.  Individuals performing officer type services
on a consulting, contract or other self-employed basis shall not be eligible to
participate.

 

(b)          ̈            The
following Directors are eligible to participate in the Plan (Check (1) or (2)):

 

(1)           ̈            Only
those Directors designated in writing by the Employer, which writing is hereby
incorporated herein.

 

(2)           ̈            All
Directors, effective as of the later of the date in 1.01(b) or the date
the Director becomes a Director.

 

(Note:  A designation in Section 1.03(a)(1) or
Section 1.03(b)(1) or a description in Section 1.03(a)(2) must
include the effective date of such participation.)

 

1.04                           COMPENSATION

 

(If Section 1.03(a) is selected, select (a) or
(b).  If Section 1.03(b) is
selected, complete (c)).

 

For purposes of determining all contributions under the Plan:

 

(a)                                   ̈  Compensation shall
be as defined, with respect to Employees, in the
                          
Plan maintained by the Employer:

 

(1)                                   ̈                   to the extent it is in excess of the limit imposed under Code section
401(a)(17).

 

(2)                                   ̈                   notwithstanding the limit imposed under Code section 401(a)(17).

 

(b)                                 x  Compensation
shall be as defined in Section 2.01(a)(9) with respect to Employees (Check (1), and/or (2) below, if, and as, appropriate):

 

(1)                                   ̈                                    but excluding the following:

 

3

 

(2)                                   ̈                                    but excluding bonuses, except those bonuses listed in
the table in Section 1.05(a)(2).

 

(c)                                   ̈            Compensation
shall be as defined in Section 2.01(a)(9)(c) with respect to
Directors, but excluding the following:

 

 

 

1.05                           CONTRIBUTIONS ON BEHALF OF EMPLOYEES

 

(a)                                  Deferral Contributions (Complete all that apply):

 

(1)                            ̈                          Deferral Contributions.  Subject to any minimum or maximum deferral
amount provided below, the Employer shall make a Deferral Contribution in
accordance with, and subject to, Section 4.01 on behalf of each
Participant who has an executed salary reduction agreement in effect with the
Employer for the applicable calendar year (or portion of the applicable
calendar year).

 

	
  Deferral Contributions

  	
   

  	
  Dollar Amount

  	
   

  	
  % Amount

  	
   

  
	
  Type of Compensation

  	
   

  	
  Min

  	
   

  	
  Max

  	
   

  	
  Min

  	
   

  	
  Max

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  0

  	
   

  	
  0

  	
   

  

 

(Note:  With respect to each type
of Compensation, list the minimum and maximum dollar amounts or
percentages as whole dollar amounts or whole number percentages.)

 

(2)                            ̈                          Deferral Contributions with respect to Bonus Compensation
only.  The Employer requires Participants
to enter into a special salary reduction agreement to make Deferral
Contributions with respect to one or more Bonuses, subject to minimum and
maximum deferral limitations, as provided in the table below.

 

	
   

  	
   

  	
  Treated As

  	
   

  	
  Dollar Amount

  	
   

  	
  % Amount

  	
   

  
	
  Deferral
  Contributions

  Type of Bonus

  	
   

  	
  Performance

  Based

  	
   

  	
  Non-

  Performance

  Based

  	
   

  	
  Min

  	
   

  	
  Max

  	
   

  	
  Min

  	
   

  	
  Max

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

4

 

(Note:  With respect to each type
of Bonus, list the minimum and maximum dollar amounts or percentages as
whole dollar amounts or whole number percentages.  In the event a bonus identified as a
Performance-based Bonus above does not constitute a Performance-based Bonus
with respect to any Participant, such Bonus will be treated as a
Non-Performance-based Bonus with respect to such Participant.)

 

(b)                                 Matching Contributions (Choose (1) or (2) below, and (3) below, as applicable):

 

(1)                                   ̈                                    The Employer shall make a Matching Contribution on
behalf of each Employee Participant in an amount described below:

 

(A)                               ̈ 
          % of the
Employee Participant’s Deferral Contributions for the calendar year.

 

(B)                                 ̈  The amount, if
any, declared by the Employer in writing, which writing is herby incorporated
herein.

 

(C)                                 ̈  Other:

 

 

 

(2)                                   ̈                                         Matching Contribution Offset.  For each Employee Participant who has made
elective contributions (as defined in 26 CFR section 1.401(k)-6 (“QP Deferrals”))
of the maximum permitted under Code section 402(g), or the maximum permitted
under the terms of the
                                    
Plan (the “QP”), to the QP, the Employer shall make a Matching Contribution in
an amount equal to (A) minus (B) below:

 

(A)                              The matching contributions (as defined in
26 CFR section 1.401(m)-1(a)(2) (“QP Match”)) that the Employee
Participant would have received under the QP on the sum of the Deferral
Contributions and the Participant’s QP Deferrals, determined as though—

 

·                  no limits otherwise imposed by the tax law applied to
such QP match; and

·                  the Employee Participant’s Deferral Contributions had
been made to the QP.

 

(B)                                The QP Match actually made to such
Employee Participant under the QP for the applicable calendar year.

 

5

 

Provided, however, that the Matching Contributions made on behalf of
any Employee Participant pursuant to this Section 1.05(b)(2) shall be
limited as provided in Section 4.02 hereof.

 

(3)                                   ̈  Matching
Contribution Limits (Check the appropriate box
(es)):

 

(A)                               ̈            Deferral
Contributions in excess of
          % of the Employee
Participant’s Compensation for the calendar year shall not be considered for
Matching Contributions.

 

(B)                                 ̈            Matching
Contributions for each Employee Participant for each calendar year shall be
limited to
$                    .

 

(c)                                  Employer Contributions

 

(1)                                  x                                       Fixed Employer Contributions.  The Employer shall make an Employer
Contribution on behalf of each Employee Participant in an amount determined as
described below:

 

The Employer will contribute an amount equal to 6% of the Participant’s
Compensation each Plan Year.  CBOE will
credit a semi-monthly amount based upon the following table to accounts of the
Chairman of the Board of Directors, the Executive Vice Chairman, the President and
each Division Head of the Employer.

 

	
  Age as of January 1st

  	
   

  	
   

  	
   

  
	
  of each calendar year

  	
   

  	
  Additional Contribution Percentage

  	
   

  
	
  Under 45

  	
   

  	
  1

  	
  %

  
	
  45-49

  	
   

  	
  3

  	
  %

  
	
  50-54

  	
   

  	
  6

  	
  %

  
	
  55-59

  	
   

  	
  9

  	
  %

  
	
  60-64

  	
   

  	
  11

  	
  %

  
	
  65
  and over

  	
   

  	
  0

  	
  %

  

 

(2)                                   ̈                                         Discretionary Employer Contributions.  The Employer may make Employer Contributions
to the accounts of Employee Participants in any amount (which amount may be
zero), as determined by the Employer in its sole discretion from time to time
in a writing, which is hereby incorporated herein.

 

1.06                           CONTRIBUTIONS ON BEHALF OF DIRECTORS

 

(a)                                   ̈                                    Director Deferral Contributions

 

The Employer shall make a Deferral Contribution in accordance with, and
subject to, Section 4.01 on behalf of each Director

 

6

 

Participant who has an executed deferral agreement in effect with the
Employer for the applicable calendar year (or portion of the applicable
calendar year), which deferral agreement shall be subject to any minimum and/or
maximum deferral amounts provided in the table below.

 

	
  Deferral Contributions

  	
   

  	
  Dollar Amount

  	
   

  	
  % Amount

  	
   

  
	
  Type of Compensation

  	
   

  	
  Min

  	
   

  	
  Max

  	
   

  	
  Min

  	
   

  	
  Max

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

(Note:  With respect to each type
of Compensation, list the minimum and maximum dollar amounts or
percentages as whole dollar amounts or whole number percentages.)

 

(b)                                 Matching and Employer Contributions:

 

(1)                                   ̈            Matching
Contributions.  The Employer shall make a
Matching Contribution on behalf of each Director Participant in an amount  determined as described below:

 

 

 

(2)                                   ̈            Fixed
Employer Contributions.  The Employer
shall make an Employer Contribution on behalf of each Director Participant in
an amount determined as described below:

 

 

 

(3)                                   ̈            Discretionary
Employer Contributions.  The Employer may
make Employer Contributions to the accounts of Director Participants in any amount
(which amount may be zero), as determined by the Employer in its sole
discretion from time to time, in a writing, which is hereby incorporated
herein.

 

1.07                           DISTRIBUTIONS

 

The form and timing of distributions from the Participant’s vested
Account shall be made consistent with the elections in this Section 1.07.

 

7

 

(a)                                  (1)                                  Distribution options to be provided to Participants

 

	
   

  	
   

  	
  (A) Specified

  Date

  	
   

  	
  (B) Specified

  Age

  	
   

  	
  (C) Separation

  From Service

  	
   

  	
  (D) Earlier of

  Separation or

  Age

  	
   

  	
  (E) Earlier of

  Separation or

  Specified Date

  	
   

  	
  (F) Disability

  	
   

  	
  (G) Change in

  Control

  	
   

  	
  (H) Death

  
	
  Deferral

  Contribution

  	
   

  	
  o Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Matching Contributions

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Employer Contributions

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
  x Lump Sum

  

  x Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  	
   

  	
  x Lump Sum

  	
   

  	
   ̈ Lump Sum

  

   ̈ Installments

  

 

(Note:  If the Employer elects (F),
(G), or (H) above, the Employer must also elect (A), (B), (C), (D), or (E) above,
and the Participant must also elect (A), (B), (C), (D), or (E) above.  In the event the Employer elects only a
single payment trigger and/or payment method above, then such single payment
trigger and/or payment method shall automatically apply to the
Participant.  If the employer elects to
provide for payment upon a specified date or age, and the employer applies a
vesting schedule to amounts that may be subject to such payment trigger(s), the
employer must apply a minimum deferral period, the number of years of which
must be greater than the number of years required for 100% vesting in any such
amounts.  If the employer elects to provide
for payment upon disability, and the employer applies a vesting schedule to
amounts that may be subject to such payment trigger, the employer must also
elect to apply 100% vesting in any such amounts upon disability and/or death.)

 

(2)           x         A
Participant incurs a Disability when the Participant (Check at
least one if Section 1.07(a)(1)(F) or if Section 1.08(e)(3) is elected):

 

(A)                              ̈                                    is unable to engage in any substantial gainful
activity by reason of any medically determinable physical or mental impairment
that can be expected to result in death or can be expected to last for a
continuous period of not less than 12 months.

 

(B)                               x                                  is, by reason of any medically determinable physical
or mental impairment that can be expected to result in death or can be expected
to last for a continuous period of not less than 12 months, receiving income
replacement benefits for a period of not less than 3 months under an accident
and health plan covering employees of the Employer.

 

(C)                               x                                  is determined to be totally disabled by the Social
Security Administration or the Railroad Retirement Board.

 

8

 

(D)                              o                                    is determined to be disabled pursuant to the following
disability insurance program:
                                    
the definition of disability under which complies with the requirements in
regulations under Code section 409A.

 

(Note:  If more than one box
above is checked, then the Participant will have a Disability if he satisfies
as least one of the descriptions corresponding to one of such checked boxes.)

 

(3)           x        Regardless
of any payment trigger and, as applicable, payment method, to which the
Participant would otherwise be subject pursuant to (1) above, the first to
occur of the following Plan-level payment triggers will cause payment to the
Participant commencing pursuant to Section 1.07(c)(1) below in a lump
sum, provided such Plan-level payment trigger occurs prior to the payment
trigger to which the Participant would otherwise be subject.

 

Payment Trigger

 

(A)                               ̈                                    Separation from Service prior to:

 

(B)                                 ̈                                    Separation from Service

 

(C)                                x                                  Death

 

(D)                                ̈                                    Change in Control

 

(b)                                 Distribution Election Change

 

A Participant

 

(1)                                  x                                  shall

 

(2)                                   ̈                                    shall not

 

be permitted to modify a scheduled distribution election in accordance
with Section 8.01(b) hereof.

 

(c)                                  Commencement of Distributions

 

(1)                                Each lump sum distribution and the first
distribution in a series of installment payments (if applicable) shall commence
as elected in (A), (B) or (C) below:

 

(A)  ̈             Monthly on the 1st
day of the month which day next follows the applicable triggering event
described in 1.07(a).

 

9

 

(B)  ̈               Quarterly on
the 1st day of the following months
                  ,
                  ,
                    ,
or
                    
(list one month in each calendar quarter) which day next follows the applicable
triggering event described in 1.07(a).

 

(C) x             Annually on the
1st day of February (month) which day next follows the applicable
triggering event described in 1.07(a)

 

(Note:  Notwithstanding the
above:  a six-month delay shall be
imposed with respect to certain distributions to Specified Employees; a
Participant who chooses payment on a Specified Date will choose a month, year
or quarter (as applicable) only, and payment will be made on the applicable
date elected in (A), (B) or (C) above that falls within such month,
year or quarter elected by the Participant.)

 

(2)                                The commencement of distributions
pursuant to the evens elected in Section 1.07(a)(1) and Section 1.07(a) (3) shall be modified by application of the following:

 

(A)                               ̈                                   Separation from Service Event Delay – Separation from
Service will be treated as not having occurred for
         months after the date of such
event.

 

(B)                                 ̈                                   Plan Level Delay – all distribution events (other than
those based on Specified Date or Specified Age) will be treated as not having
occurred for        days (insert number of days
but not more than 30).

 

(d)                                 Installment Frequency and Duration

 

If installments are available under the Plan pursuant to Section 1.07(a),
a Participant shall be permitted to elect that the installments will be paid (Complete 1 and 2 below):

 

(1)                                at the following intervals:

 

(A)                              x                                 Monthly commencing on the day elected in Section 1.07(c)(1).

 

(B)                                x                                 Quarterly commending on the day elected in Section 1.07(c)(1) (with
payments made at three-month intervals thereafter).

 

(C)                                x                                 Annually commencing on the day elected in Section 1.07(c)(1).

 

10

 

(2)                                  over the following term(s) (Complete either (A) or (B)):

 

(A)                              x                                  Any term of whole years between 1 (minimum of
1) and 10 (maximum of 30).

 

(B)                                o                                    Any of the whole year terms selected below.

 

	
   ̈  1

  	
   ̈  2

  	
   ̈  3

  	
   ̈  4

  	
   ̈  5

  	
   ̈  6

  
	
   ̈  7

  	
   ̈  8

  	
   ̈  9

  	
   ̈ 10

  	
   ̈ 11

  	
   ̈ 12

  
	
   ̈ 13

  	
   ̈ 14

  	
   ̈ 15

  	
   ̈ 16

  	
   ̈ 17

  	
   ̈ 18

  
	
   ̈ 19

  	
   ̈ 20

  	
   ̈ 21

  	
   ̈ 22

  	
   ̈ 23

  	
   ̈ 24

  
	
   ̈ 25

  	
   ̈ 26

  	
   ̈ 27

  	
   ̈ 28

  	
   ̈ 29

  	
   ̈ 30

  

 

(Note:  Only elect a term of one
year if Section 1.07(d)(1)(A) and/or Section 1.07(d)(1)(B) is
elected above.)

 

(e)                                  Conversion to Lump Sum

 

o            Notwithstanding anything herein to the contrary, if
the Participant’s vested Account at the time such Account becomes payable to
him hereunder does not exceed
$                  
distribution of the Participant’s vested Account shall automatically be made in
the form of a single lump sum at the time prescribed in Section 1.07(c)(1).

 

(f)                                    Distribution Rules Applicable to
Pre-effective Date Accruals

 

o            Benefits accrued under the Plan (subject to Code
section 409A) prior to the date in Section 1.01(b)(1) above are
subject to distribution rules not described in Section 1.07(a) through
(e), and such rules are described in Attachment A Re:  PRE EFFECTIVE DATE ACCRUAL DISTRIBUTION
RULES.

 

1.08                           VESTING SCHEDULE

 

(a)                                  (1)                                The Participant’s vested percentage in Matching
Contributions elected in Section 1.05(b) shall be based upon the
following schedule and unless Section 1.08(a)(2) is checked below
will be based on the elapsed time method as described in Section 7.03(b).

 

	
  Years of Service

  	
   

  	
  Vesting %

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

(2)              ̈         Vesting
shall be based on the class year method as described in Section 7.03(c).

 

11

 

(b)                                 (1)                                The Participant’s vested percentage in Employer
Contributions elected in Section 1.05(c) shall be based upon the
following schedule and unless Section 1.08(b)(2) is checked below
will be based on the elapsed time method as described in Section 7.03(b).

 

	
  Years of Service

  	
   

  	
  Vesting %

  
	
  0

  	
   

  	
  0

  
	
  1

  	
   

  	
  20

  
	
  2

  	
   

  	
  40

  
	
  3

  	
   

  	
  60

  
	
  4

  	
   

  	
  80

  
	
  5

  	
   

  	
  100

  

 

(2)              ̈         Vesting
shall be based on the class year method as described in Section 7.03(c).

 

(c)              ̈  Years of
Service shall exclude (Check one.):

 

(1)              ̈        for
new plans, service prior to the Effective Date as defined in Section 1.01(b)(2)(A).

 

(2)              ̈        for
existing plans converting from another plan document, service prior to the
original Effective Date as defined in Section 1.01(b)(2)(B).

 

(Note:  Do not elect to apply
this Section 1.08(c) if vesting is based only on the class year
method.).

 

(d)                                 x 
Notwithstanding anything to the contrary herein, a Participant will
forfeit his Matching Contributions and Employer Contributions (regardless of
whether vested) upon the occurrence of the following event(s):

See Attachment B.

 

 

(Note:  Contributions with
respect to Directors, which are 100% vested at all times, are subject to the rule in
this subsection (d).)

 

(e)                                  A Participant will be 100% vested in his
Matching Contributions and Employer Contributions upon (Check the
appropriate box(es)):

 

(1)              ̈        Retirement
eligibility is the date the Participant attains age
       and completes
       Years of Service, as defined in Section 7.03(b).

 

(2)             x      Death.

 

12

 

(3)             x       The
date on which the Participant becomes disabled, as determined under Section 1.07(a)(2).

 

(Note:  Participants will
automatically vest upon Change in Control if Section 1.07(a)(1)(G) is
elected.)

 

(f)                                     ̈                Years of Service in Section 1.08(a)(1) and Section 1.08(b)(1) shall
include service with the following employers:

 

 

1.09                           INVESTMENT DECISIONS

 

A Participant’s Account shall be treated as invested in the Permissible
Investments as directed by the Participant unless otherwise provided below:

 

See Attachment B.

 

 

1.10                           ADDITIONAL PROVISIONS

 

The Employer may elect Option below and complete the Superseding
Provisions Addendum to describe overriding provisions that are not otherwise
reflected in this Adoption Agreement.

 

x                                 The Employer has completed the
Superseding Provisions Addendum to reflect the provisions of the Plan that
supersede provisions of this Adoption Agreement and/or the Basic Plan Document.

 

13

 

EXECUTION PAGE

(Fidelity’s Copy)

 

IN WITNESS WHEREOF, the
Employer has caused this Adoption Agreement to be executed this 12th day of
December, 2008.

 

	
  Employer

  	
  Chicago
  Board Options Exchange, Inc.

  
	
   

  	
   

  
	
  By

  	
  /s/
  Deborah Woods

  
	
   

  	
   

  
	
  Title

  	
  Vice
  President Human Resources

  

 

14

 

EXECUTION
PAGE

(Employer’s Copy)

 

IN WITNESS WHEREOF, the
Employer has caused this Adoption Agreement to be executed this 12th day of
December, 2008.

 

	
  Employer

  	
  Chicago
  Board Options Exchange, Inc.

  
	
   

  	
   

  
	
  By

  	
  /s/
  Deborah Woods

  
	
   

  	
   

  
	
  Title

  	
  Vice
  President Human Resources

  

 

15

 

AMENDMENT EXECUTION PAGE

(Fidelity’s Copy)

 

	
  Plan
  Name:

  	
  Chicago
  Board Option Exchange Executive Retirement Plan (the “Plan”)

  
	
   

  	
   

  
	
  Employer:

  	
  Chicago Board Options
  Exchange, Inc.

  

 

(Note:  These execution pages are to be completed in
the event the Employ modifies any prior election(s) or makes a new election(s) in
this Adoption Agreement.  Attach the
amended page(s) of the Adoption Agreement to these execution pages.)

 

The following section(s) of
the Plan are hereby amended effective as of the date(s) set forth below:

 

	
  Section Amended

  	
   

  	
  Effective Date

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

IN WITNESS WHEREOF, the
Employer has caused this Amendment to be executed on the date below.

 

	
   

  	
  Employer

  	
  Chicago
  Board Options Exchange, Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/
  Deborah Woods

  
	
   

  	
   

  	
   

  
	
   

  	
  Title

  	
  Vice
  President Human Resources

  
	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
  December 12,
  2008

  

 

16

 

AMENDMENT EXECUTION PAGE

(Employer’s Copy)

 

	
  Plan
  Name:

  	
  Chicago
  Board Option Exchange Executive Retirement Plan (the “Plan”)

  
	
   

  	
   

  
	
  Employer:

  	
  Chicago Board Options
  Exchange, Inc.

  

 

(Note:  These execution pages are to be
completed in the event the Employ modifies any prior election(s) or makes a
new election(s) in this Adoption Agreement.  Attach the amended page(s) of the
Adoption Agreement to these execution pages.)

 

The following section(s) of
the Plan are hereby amended effective as of the date(s) set forth below:

 

	
  Section Amended

  	
   

  	
  Effective Date

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

IN WITNESS WHEREOF, the
Employer has caused this Amendment to be executed on the date below.

 

	
   

  	
  Employer

  	
  Chicago
  Board Options Exchange, Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/
  Deborah Woods

  
	
   

  	
   

  	
   

  
	
   

  	
  Title

  	
  Vice
  President Human Resources

  
	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
  December 12,
  2008

  

 

17

 

ATTACHMENT A

 

Re:  PRE
EFFECTIVE DATE ACCRUAL DISTRIBUTION RULES

 

Plan Name:  Chicago
Board Option Exchange Executive Retirement Plan

 

18

 

ATTACHMENT B

 

Re: 
SUPERSEDING PROVISIONS

for

Plan Name:  Chicago Board Option Exchange
Executive Retirement Plan

 

(a)                      Superseding
Provision(s) - The following provisions supersede other provisions of this
Adoption Agreement and/or the Basic Plan Document as described below:

 

Notwithstanding anything to
the contrary in Section 1.04, for purposes of determining Employer
Contributions under the Plan, Compensation shall include only base compensation
and bonuses (including amounts deferred by the Participant under the Chicago
Board Options Exchange Deferred Compensation Plan for Officers).  Compensation shall specifically exclude
amounts contributed by the Employer under the Senior Executive Cafeteria Plan.

 

CBOE
Seat Fund Executive Summary - Confidential

 

1.             New Investment Option.  Effective March 22, 2007, an additional
investment option, the CBOE Seat Fund, will be available for the annual
Discretionary Employer Contributions to the Chicago Board Options Exchange
Executive Retirement Plan (the “Plan”). 
This investment option will represent a hypothetical membership in CBOE
and track the value of one CBOE seat.

 

2.             Valuation of Investment.  The initial aggregate value of the Seat Fund
will be based upon the fair market value and a discount.  An independent financial advisory firm will
recommend discount percentage.  The Fund
will be valued monthly.  The average
price of the last three seat sales for the applicable month will be used to
determine the value of the hypothetical membership at the end of each month.

 

3.             Amount of Investment.  In lieu of the 6% discretionary contribution,
for fiscal years ending 2006, 2007 and 2008 the CBOE contribution will be equal
to $509,600.  This was calculated as
follows:

 

	
  Seat sale 3/12/07

  	
   

  	
  $

  	
  2,270,000

  	
   

  
	
  Seat sale 3/12/07

  	
   

  	
  $

  	
  2,200,000

  	
   

  
	
  Seat sale 3/1/07

  	
   

  	
  $

  	
  1,900,000

  	
   

  
	
  Average

  	
   

  	
  $

  	
  2,123,333

  	
   

  
	
  Discount = 28%

  	
   

  	
  $

  	
  1,528,800

  	
   

  
	
  One third

  	
   

  	
  $

  	
  509,600

  	
   

  

 

The participant allocation
formula will be based upon the percentage each participant normally receives
from the total CBOE discretionary amount made to the plan.  For example, if the 6% total for all eligible
participants is $500,000 and the participant’s 6% discretionary contribution
for 2006 equals $50,000, this participant would receive 10% of $509,600, the
seat value awarded, or $50,960.

 

19

 

4.             Vesting.  A participant’s interest in membership units
of the Seat Fund would vest in the same manner as the balance of his or her
accounts under the Plan.

 

5.             Distributions.  The Plan will make any distributions from the
Seat Fund in cash equal to the market value of a membership unit as of the last
preceding monthly valuation date prior to the distribution date.

 

If a participant’s
termination of employment with CBOE occurs for any reason other than death, the
balance of his or her account will be paid, as elected by the participant, in a
single lump sum payment, or in annual installments over a period of ten or
fewer years.  If payments are made in
installments, the unpaid portion of the participant’s balance shall continue to
be adjusted to reflect gains and losses.

 

In the event of a
participant’s death, the entire unpaid balance of his or her account will be
paid in a single lump sum, as soon as practicable after death, to his or her
designated beneficiary.  Beneficiary
designations are made by written instrument or other means prescribed by CBOE.

 

6.             Asset Transfer.  A participant may elect to liquidate his or
her vested membership units in the “Seat Fund” and transfer the value to one or
more of the investment options offered by Fidelity under the Plan, only by
giving the Plan six months advance written
notice.  The date of the transfer must be
thirty-six (36) months or more from the date of share purchase.  The election to transfer shares will be
irrevocable.  The value of the membership
units liquidated under the Seat fund will be determined as of the date of
transfer.

 

7.             Funding.  CBOE has established a rabbi trust to
informally fund amounts payable under the Plan. 
CBOE may decide to hold the seat purchased in 2006 in this rabbi trust
or another rabbi trust.  Assets and
investments under the rabbi trust continue to be treated as assets of the CBOE
for all tax, financial and legal purposes.

 

8.             Expenses.  Although expenses are not anticipated, any
expenses attributable to management or trusteeship of the Seat Fund will be
charged against participants’ investments in the Fund, on a pro rata basis.

 

9.             Taxation of Earnings.  Earnings associated with the Seat Fund, will
be taxed to the CBOE, either as the owner of the actual membership or as the
grantor of the rabbi trust (if investments in the Seat Fund are funded through
the trust).  However, a participant would
be taxed on all amounts distributed to the participant from the Plan (e.g., upon employment termination).

 

10.          Demutualization.  If the CBOE were to demutualize and convert
to stock ownership, the value of the membership units in the Seat Fund would be
transferred to funds offered through the Executive Retirement Plan via
Fidelity.

 

20

 

11.                               Change
in Control.  Immediate
vesting will occur upon a change of control of CBOE.  If a change of control occurs prior to the
end of final payment of all membership units, the participant will not be
required to fund the outstanding balance. 
If elected by the participant, his or her entire interest in the Plan
shall be distributed as soon as practicable after the date of consummation of a
change of control.

 

For purposes of the Plan, a “Change
in Control” of CBOE shall be deemed to occur on the effective time of (i) a
merger or consolidation of CBOE with one or more other corporations as a result
of which holders of the outstanding capital stock of CBOE entitled to vote for
the election of directors (“Voting Stock”) of CBOE immediately prior to such merger
hold less than 50% of the Voting Stock of the surviving or resulting
corporation, or (ii) a transfer of substantially all of the property of
CBOE other than to an entity of which CBOE owns at least 50% of the Voting
Stock.

 

12.                               Termination
for Cause.  If a
participant’s employment with CBOE is terminated for Cause, the entire balance
in his or her account is forfeited. 
Cause is deemed to exist if, and only if:

 

(a)                                  The participant
engages, during the performance of his or her duties for CBOE, in acts or
omissions constituting dishonesty, intentional breach of fiduciary obligation
or intentional wrongdoing or malfeasance;

 

(b)                                 The participant
intentionally disobeys or disregards a lawful and proper direction of the
Board, or

 

(c)                                  The participant
materially breaches an employment agreement entered into with CBOE, and the
breach is incapable of being cured or remains uncured for thirty days following
receipt by the participant of written notice from CBOE specifying the nature of
the breach and demanding its cure.

 

The following will not
constitute Cause:

 

(a)                                  Any personal or
policy disagreement between a participant and CBOE, or any member of CBOE or of
the Board; or

 

(b)                                 Any action
taken by a participant in connection with his or her duties for CBOE, or any
failure to act, if the participant acted or failed to act in good faith and in
a manner he or she reasonably believed to be in the best interests of CBOE, and
he or she had no reason to believe the conduct was unlawful.

 

13.                               Amendment
or Termination.  CBOE may
amend or terminate the Plan at any time, but cannot reduce the account balance
of a participant as of the effective date of the amendment or termination.

 

21

 

14.                               Conflict
with Plan.  The
information contained in this document is intended to provide a brief
overview.  In the event of a conflict
between the official Plan document and this summary, the official Plan document
will prevail.

 

22

 

1.07                           DISTRIBUTIONS

 

The form and timing of distributions from the Participant’s vested
Account shall be made consistent with the elections in this Section 1.07

 

(a)                                  (1)                                  Distribution options to be provided to Participants

 

	
   

  	
   

  	
  (A) Specified

  Date

  	
   

  	
  (B) Specified

  Age

  	
   

  	
  (C) Separation

  From Service

  	
   

  	
  (D) Earlier of

  Separation or

  Age

  	
   

  	
  (E) Earlier of

  Separation or

  Specified Date

  	
   

  	
  (F) Disability

  	
   

  	
  (G) Change in

  Control

  	
   

  	
  (H) Death

  
	
  Deferral

  Contribution

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

  	
   

  	
  o Lump Sum

   

  o Installments

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Matching Contributions

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

  	
   

  	
  o Lump Sum

   

  o Installments

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Employer Contributions

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  x Lump Sum

   

  x Installments

  	
   

  	
  o Lump Sum

   

  o Installments

  	
   

  	
  x Lump Sum

  	
   

  	
  o Lump Sum

   

  o Installments

  

 

(Note:  If the Employer elects
(F), (G), or (H) above, the Employer must also elect (A), (B), (C), (D),
or (E) above, and the Participant must also elect (A), (B), (C), (D), or (E) above.  In the event the Employer elects only a
single payment trigger and/or payment method above, then such single payment
trigger and/or payment method shall automatically apply to the Participant.  If the employer elects to provide for payment
upon a specified date or age, and the employer applies a vesting schedule to
amounts that may be subject to such payment trigger(s), the employer must apply
a minimum deferral period, the number of years of which must be greater than
the number of years required for 100% vesting in any such amounts.  If the employer elects to provide for payment
upon disability and/or death, and the employer applies a vesting schedule to
amounts that may be subject to such payment trigger, the employer must also
elect to apply 100% vesting in any such amounts upon disability and/or death.)

 

(2)           x         A
Participant incurs a Disability when the Participant (Check at
least one if Section 1.07(a)(1)(F) or if Section 1.08(e)(3) is
elected):

 

(A)                              o                                    is unable to engage in any substantial gainful
activity by reason of any medically determinable physical or mental impairment
that can be expected to result in death or can be expected to last for a
continuous period of not less than 12 months.

 

	
  Plan Number: 44314

  	
   

  	
  ECM NQ 2007 AA

  
	
  (07/2007)

  	
   

  	
  6/15/2009

  
	
  © 2007 Fidelity
  Management & Research Company

  

 

1

 

(B)                                x                                  is, by reason of any medically determinable physical
or mental impairment that can be expected to result in death or can be expected
to last for a continuous period of not less than 12 months, receiving income
replacement benefits for a period of not less than 3 months under an accident
and health plan covering employees of the Employer

 

(C)                                x                                  is determined to be totally disabled by the Social
Security Administration or the Railroad Retirement Board.

 

(D)                               o                                    is determined to be disabled pursuant to the following
disability insurance program:
                                            
the definition of disability under which complies with the requirements in
regulations under Code section 409A.

 

(Note:  If more than one box
above is checked, then the Participant will have a Disability if he satisfies
at least one of the descriptions corresponding to one of such checked boxes.)

 

(3)           x         Regardless
of any payment trigger and, as applicable, payment method, to which the
Participant would otherwise be subject pursuant to (1) above, the first to
occur of the following Plan-level payment triggers will cause payment to the
Participant commencing pursuant to Section 1.07(c)(1) below in a lump
sum, provided such Plan-level payment trigger occurs prior to the payment
trigger to which the Participant would otherwise be subject.

 

Payment Trigger

 

(A)                              o                                    Separation from Service prior to:

(B)                                o                                    Separation from Service

(C)                                x                                  Death

(D)                               o                                    Change in Control

 

(b)                                 Distribution Election Change

 

A Participant

 

(1)                                  x                                  shall

(2)                                  o                                    shall not

 

be permitted to modify a scheduled distribution election in accordance
with Section 8.01(b) hereof.

 

(c)                                  Commencement of Distributions

 

2

 

(1)                                  Each lump sum distribution and the first
distribution in a series of installment payments (if applicable) shall commence
as elected in (A), (B) or (C) below:

 

(A)  o          Monthly on the
      day of the month which day next follows the
applicable triggering event described in 1.07(a).

(B)  o           Quarterly on the     
day of the following months
                  ,
                  ,
                    ,
or
                    
(list one month in each calendar quarter) which day next follows the applicable
triggering event described in 1.07(a).

(C)  x          Annually on the 1st day of
February (month) which day next follows the applicable triggering event
described in 1.07(a)

 

(Note:  Notwithstanding the
above:  a six-month delay shall be
imposed with respect to certain distributions to Specified Employees; a
Participant who chooses payment on a Specified Date will choose a month, year
or quarter (as applicable) only, and payment will be made on the applicable
date elected in (A), (B) or (C) above that falls within such month,
year or quarter elected by the Participant.)

 

(2)                                  The commencement of distributions
pursuant to the evens elected in Section 1.07(a)(1) and Section 1.07(a)(3) shall
be modified by application of the following:

 

(A)                              o                                    Separation from Service Event Delay — Separation from
Service will be treated as not having occurred for
         months after the date of such
event.

 

(B)                                o                                    Plan Level Delay — all distribution events (other than
those based on Specified Date or Specified Age) will be treated as not having
occurred for        days (insert number of days
but not more than 30).

 

(d)                                 Installment Frequency and Duration

 

If installments are available under the Plan pursuant to Section 1.07(a),
a Participant shall be permitted to elect that the installments will be paid (Complete 1 and 2 below):

 

(1)                                  at the following intervals:

 

(A)                              x                                  Monthly commencing on the day elected in Section 1.07(c)(1).

 

3

 

(B)                                x                                  Quarterly commending on the day elected in Section 1.07(c)(1) (with
payments made at three-month intervals thereafter).

 

(C)                                x                                  Annually commencing on the day elected in Section 1.07(c)(1).

 

(2)                                  over the following term(s) (Complete either (A) or (B)):

 

(A)                              x                                  Any term of whole years between 1 (minimum of
1) and 10 (maximum of 30).

 

(B)                                o                                    Any of the
whole year terms selected below.

 

	
  o 1

  	
   

  	
  o 2

  	
   

  	
  o 3

  	
   

  	
  o 4

  	
   

  	
  o 5

  	
   

  	
  o 6

  
	
  o 7

  	
   

  	
  o 8

  	
   

  	
  o 9

  	
   

  	
  o 10

  	
   

  	
  o 11

  	
   

  	
  o 12

  
	
  o 13

  	
   

  	
  o 14

  	
   

  	
  o 15

  	
   

  	
  o 16

  	
   

  	
  o 17

  	
   

  	
  o 18

  
	
  o 19

  	
   

  	
  o 20

  	
   

  	
  o 21

  	
   

  	
  o 22

  	
   

  	
  o 23

  	
   

  	
  o 24

  
	
  o 25

  	
   

  	
  o 26

  	
   

  	
  o 27

  	
   

  	
  o 28

  	
   

  	
  o 29

  	
   

  	
  o 30

  

 

(Note:  Only elect a term of one
year if Section 1.07(d)(1)(A) and/or Section 1.07(d)(1)(B) is
elected above.)

 

(e)                                  Conversion to Lump Sum

 

o            Notwithstanding anything herein to the contrary, if
the Participant’s vested Account at the time such Account becomes payable to
him hereunder does not exceed
$                  
distribution of the Participant’s vested Account shall automatically be made in
the form of a single lump sum at the time prescribed in Section 1.07(c)(1).

 

(f)                                    Distribution Rules Applicable
to Pre-effective Date Accruals

 

o            Benefits accrued under the Plan (subject to Code
section 409A) prior to the date in Section 1.01(b)(1) above are
subject to distribution rules not described in Section 1.07(a) through
(e), and such rules are described in Attachment A Re:  PRE EFFECTIVE DATE ACCRUAL DISTRIBUTION
RULES.

 

4

 

AMENDMENT EXECUTION PAGE

(Employer’s Copy)

 

Plan
Name:                                     Chicago Board
Option Exchange Executive Retirement Plan (the “Plan”)

 

Employer:                                           Chicago Board
Options Exchange, Inc.

 

(Note:  These execution pages are to be
completed in the event the Employer modifies any prior election(s) or
makes a new election(s) in this Adoption Agreement.  Attach the amended page(s) of the
Adoption Agreement to these execution pages.)

 

	
  Section Amended

  	
   

  	
  Effective Date

  
	
  1.07
  Distributions

  	
   

  	
  07/15/2009

  

 

IN WITNESS WHEREOF, the
Employer has caused this Amendment to be executed on the date below.

 

	
   

  	
  Employer

  	
  Chicago
  Board Options Exchange, Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/
  Deborah Woods

  
	
   

  	
   

  	
   

  
	
   

  	
  Title

  	
  Vice
  President Human Resources

  
	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
  June 16, 2009

  

 

5

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