Document:

EX-10.1 AMENDED AND RESTATED 2003 INCENTIVE STOCK

    Exhibit
    10.1

 

     
    

 

 

    AMENDED AND
    RESTATED

    POST PROPERTIES, INC.

    2003 INCENTIVE STOCK PLAN
    

 

 

 

    TABLE OF
    CONTENTS

 

	 	 	 	 	 	 	 	 	 	 	 	 
	
 
	
 
	
 
	
 
	
 
	
 
	
 
	
    Page
	
 

	 

	

    § 1. BACKGROUND AND PURPOSE

	
 
	
 
	
    1
	
 

	

    § 2. DEFINITIONS

	
 
	
 
	
    1
	
 

	
 
	
 
	
 
	
    2
	
    .1
	
 
	
 
	
    Affiliate
	
 
	
 
	
    1
	
 

	
 
	
 
	
 
	
    2
	
    .2
	
 
	
 
	
    Board
	
 
	
 
	
    1
	
 

	
 
	
 
	
 
	
    2
	
    .3
	
 
	
 
	
    Change Effective Date
	
 
	
 
	
    1
	
 

	
 
	
 
	
 
	
    2
	
    .4
	
 
	
 
	
    Change in Control
	
 
	
 
	
    1
	
 

	
 
	
 
	
 
	
    2
	
    .5
	
 
	
 
	
    Code
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .6
	
 
	
 
	
    Committee
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .7
	
 
	
 
	
    Director
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .8
	
 
	
 
	
    Fair Market Value
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .9
	
 
	
 
	
    ISO
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .10
	
 
	
 
	
    Key Employee
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .11
	
 
	
 
	
    1933 Act
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .12
	
 
	
 
	
    1934 Act
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .13
	
 
	
 
	
    Non-ISO
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .14
	
 
	
 
	
    Option
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .15
	
 
	
 
	
    Option Certificate
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .16
	
 
	
 
	
    Option Price
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .17
	
 
	
 
	
    Parent
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .18
	
 
	
 
	
    Plan
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .19
	
 
	
 
	
    Post
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .20
	
 
	
 
	
    Rule 16b-3
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .21
	
 
	
 
	
    SAR Value
	
 
	
 
	
    2
	
 

	
 
	
 
	
 
	
    2
	
    .22
	
 
	
 
	
    Stock
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    2
	
    .23
	
 
	
 
	
    Stock Grant
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    2
	
    .24
	
 
	
 
	
    Stock Grant Certificate
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    2
	
    .25
	
 
	
 
	
    Stock Appreciation Right
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    2
	
    .26
	
 
	
 
	
    Stock Appreciation Right Certificate
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    2
	
    .27
	
 
	
 
	
    Subsidiary
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    2
	
    .28
	
 
	
 
	
    Ten Percent Shareholder
	
 
	
 
	
    3
	
 

	

    § 3. SHARES RESERVED UNDER PLAN

	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    3
	
    .1
	
 
	
 
	
    Number of Shares
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    3
	
    .2
	
 
	
 
	
    Adjustment
	
 
	
 
	
    3
	
 

	
 
	
 
	
 
	
    3
	
    .3
	
 
	
 
	
    Use of Proceeds
	
 
	
 
	
    3
	
 

	

    § 4. EFFECTIVE DATE

	
 
	
 
	
    3
	
 

	

    § 5. COMMITTEE

	
 
	
 
	
    4
	
 

	

    § 6. ELIGIBILITY AND GRANT CAPS

	
 
	
 
	
    4
	
 

	

    § 7. OPTIONS

	
 
	
 
	
    4
	
 

	
 
	
 
	
 
	
    7
	
    .1
	
 
	
 
	
    Committee Action
	
 
	
 
	
    4
	
 

	
 
	
 
	
 
	
    7
	
    .2
	
 
	
 
	
    $100,000 Limit
	
 
	
 
	
    4
	
 

	
 
	
 
	
 
	
    7
	
    .3
	
 
	
 
	
    Option Price
	
 
	
 
	
    4
	
 

	
 
	
 
	
 
	
    7
	
    .4
	
 
	
 
	
    Payment
	
 
	
 
	
    4
	
 

	
 
	
 
	
 
	
    7
	
    .5
	
 
	
 
	
    Exercise Period
	
 
	
 
	
    5
	
 

 

	 	 	 	 	 	 	 	 	 	 	 	 
	
 
	
 
	
 
	
 
	
 
	
 
	
 
	
    Page
	
 

	 

	

    § 8. STOCK APPRECIATION RIGHTS

	
 
	
 
	
    5
	
 

	
 
	
 
	
 
	
    8
	
    .1
	
 
	
 
	
    Committee Action
	
 
	
 
	
    5
	
 

	
 
	
 
	
 
	
    8
	
    .2
	
 
	
 
	
    Terms and Conditions
	
 
	
 
	
    5
	
 

	
 
	
 
	
 
	
    8
	
    .3
	
 
	
 
	
    Exercise
	
 
	
 
	
    5
	
 

	

    § 9. STOCK GRANTS

	
 
	
 
	
    6
	
 

	
 
	
 
	
 
	
    9
	
    .1
	
 
	
 
	
    Committee Action
	
 
	
 
	
    6
	
 

	
 
	
 
	
 
	
    9
	
    .2
	
 
	
 
	
    Conditions
	
 
	
 
	
    6
	
 

	
 
	
 
	
 
	
    9
	
    .3
	
 
	
 
	
    Dividends and Voting Rights
	
 
	
 
	
    6
	
 

	
 
	
 
	
 
	
    9
	
    .4
	
 
	
 
	
    Satisfaction of Forfeiture Conditions
	
 
	
 
	
    6
	
 

	
 
	
 
	
 
	
    9
	
    .5
	
 
	
 
	
    Section 162(m)
	
 
	
 
	
    7
	
 

	

    § 10. NON-TRANSFERABILITY

	
 
	
 
	
    7
	
 

	

    § 11. SECURITIES REGISTRATION

	
 
	
 
	
    8
	
 

	

    § 12. LIFE OF PLAN

	
 
	
 
	
    8
	
 

	

    § 13. ADJUSTMENT

	
 
	
 
	
    8
	
 

	
 
	
 
	
 
	
    13
	
    .1
	
 
	
 
	
    Capital Structure
	
 
	
 
	
    8
	
 

	
 
	
 
	
 
	
    13
	
    .2
	
 
	
 
	
    Corporate Transactions
	
 
	
 
	
    8
	
 

	
 
	
 
	
 
	
    13
	
    .3
	
 
	
 
	
    Fractional Shares
	
 
	
 
	
    9
	
 

	

    § 14. CHANGE IN CONTROL

	
 
	
 
	
    9
	
 

	

    § 15. AMENDMENT OR TERMINATION

	
 
	
 
	
    9
	
 

	

    § 16. MISCELLANEOUS

	
 
	
 
	
    9
	
 

	
 
	
 
	
 
	
    16
	
    .1
	
 
	
 
	
    Shareholder Rights
	
 
	
 
	
    9
	
 

	
 
	
 
	
 
	
    16
	
    .2
	
 
	
 
	
    No Contract of Employment
	
 
	
 
	
    9
	
 

	
 
	
 
	
 
	
    16
	
    .3
	
 
	
 
	
    Withholding
	
 
	
 
	
    10
	
 

	
 
	
 
	
 
	
    16
	
    .4
	
 
	
 
	
    Construction
	
 
	
 
	
    10
	
 

	
 
	
 
	
 
	
    16
	
    .5
	
 
	
 
	
    Other Conditions
	
 
	
 
	
    10
	
 

	
 
	
 
	
 
	
    16
	
    .6
	
 
	
 
	
    Rule 16b-3
	
 
	
 
	
    10
	
 

	
 
	
 
	
 
	
    16
	
    .7
	
 
	
 
	
    Provision for Income Taxes
	
 
	
 
	
    10
	
 

    ii

 

    § 1.
    

 

    BACKGROUND AND PURPOSE

 

    The purpose of this Plan is to promote the interest of Post by
    authorizing the Committee to grant Options and Stock
    Appreciation Rights and to make Stock Grants to Key Employees
    and Directors in order (1) to attract and retain Key
    Employees and Directors, (2) to provide an additional
    incentive to each Key Employee or Director to work to increase
    the value of Stock and (3) to provide each Key Employee or
    Director with a stake in the future of Post which corresponds to
    the stake of each of Post’s shareholders.

 

    § 2.
    

 

    DEFINITIONS

 

    2.1 Affiliate — means any organization
    (other than a Subsidiary) that would be treated as under common
    control with Post under § 414(c) of the Code if
    “50 percent” were substituted for
    “80 percent” in the income tax regulations under
    § 414(c) of the Code.

 

    2.2 Board — means the Board of Directors
    of Post.

 

    2.3 Change Effective Date — means either
    the date which includes the “closing” of the
    transaction which makes a Change in Control effective if the
    Change in Control is made effective through a transaction which
    has a “closing” or the date a Change in Control is
    reported in accordance with applicable law as effective to the
    Securities and Exchange Commission if the Change in Control is
    made effective other than through a transaction which has a
    “closing”.

 

    2.4 Change in Control —  means:

 

    (a) a “change in control” of Post of a nature
    that would be required to be reported in response to
    Item 6(e) of Schedule 14A for a proxy statement filed
    under Section 14(a) of the Securities Exchange Act as in
    effect on the effective date of this Plan under § 4;

 

    (b) a “person” (as that term is used in 14(d)(2)
    of the Exchange Act) becomes the beneficial owner (as defined in
    Rule 13d-3
    under the Exchange Act) directly or indirectly of securities
    representing 45% or more of the combined voting power for
    election of directors of the then outstanding securities of Post;

 

    (c) the individuals who at the beginning of any period of
    two consecutive years or less (starting on or after the
    effective date of this Plan under § 4) constitute
    Post’s Board cease for any reason during such period to
    constitute at least a majority of Post’s Board, unless the
    election or nomination for election of each new member of the
    Board was approved by vote of at least two-thirds of the members
    of such Board then still in office who were members of such
    Board at the beginning of such period;

 

    (d) the shareholders of Post approve any reorganization,
    merger, consolidation or share exchange as a result of which the
    common stock of Post shall be changed, converted or exchanged
    into or for securities of another organization (other than a
    merger with a Post Affiliate or a wholly-owned subsidiary of
    Post) or any dissolution or liquidation of Post or any sale or
    the disposition of 50% or more of the assets or business of
    Post; or

 

    (e) the shareholders of Post approve any reorganization,
    merger, consolidation or share exchange with another corporation
    unless (i) the persons who were the beneficial owners of
    the outstanding shares of the common stock of Post immediately
    before the consummation of such transaction beneficially own
    more than 60% of the outstanding shares of the common stock of
    the successor or survivor corporation in such transaction
    immediately following the consummation of such transaction and
    (ii) the number of shares of the common stock of such
    successor or survivor corporation beneficially owned by the
    persons described in § 2.4(e)(i) immediately following
    the consummation of such transaction is beneficially owned by
    each such person in substantially the same proportion that each
    such person had beneficially owned shares of Post common stock
    immediately before the consummation of such transaction,
    provided (iii) the percentage described in
    § 2.4(e)(i) of the beneficially owned shares of the
    successor or survivor corporation and the number described in
    § 2.4(e)(ii) of the beneficially owned shares of the
    successor or survivor corporation shall be determined

 

    exclusively by reference to the shares of the successor or
    survivor corporation which result from the beneficial ownership
    of shares of common stock of Post by the persons described in
    § 2.4(e)(i) immediately before the consummation of
    such transaction.

 

    2.5 Code — means the Internal Revenue Code
    of 1986, as amended.

 

    2.6 Committee — means the Executive
    Compensation and Management Development Committee of the Board
    or, if all of the members of the Executive Compensation and
    Management Development Committee do not come within the
    definition of a “non-employee director” under
    Rule 16b-3
    and an “outside director” under § 162(m) of
    the Code, a subcommittee of the Executive Compensation and
    Management Development Committee which shall have at least 2
    members, each of whom shall come within the definition of a
    “non-employee director” under
    Rule 16b-3
    and an “outside director” under § 162(m) of
    the Code.

 

    2.7 Director — means any member of the
    Board who is not an employee of Post or a Parent or Subsidiary
    or affiliate (as such term is defined in Rule 405 of the
    1933 Act) of Post.

 

    2.8 Fair Market Value — means (1) the
    closing price on any date for a share of Stock as reported by
    The Wall Street Journal or, if The Wall Street
    Journal no longer reports such closing price, such closing
    price as reported by a newspaper or trade journal selected by
    the Committee or, if no such closing price is available on such
    date, (2) such closing price as so reported in accordance
    with § 2.8(1) for the immediately preceding business
    day, or, if no newspaper or trade journal reports such closing
    price or if no such price quotation is available, (3) the
    price which the Committee acting in good faith determines
    through any reasonable valuation method that a share of Stock
    might change hands between a willing buyer and a willing seller,
    neither being under any compulsion to buy or to sell and both
    having reasonable knowledge of the relevant facts.

 

    2.9 ISO — means an option granted under
    this Plan to purchase Stock which is intended to satisfy the
    requirements of § 422 of the Code.

 

    2.10 Key Employee — means an employee of
    Post or any Subsidiary or Parent or Affiliate designated by the
    Committee who, in the judgment of the Committee acting in its
    absolute discretion, is key directly or indirectly to the
    success of Post.

 

    2.11 1933 Act — means the Securities
    Act of 1933, as amended.

 

    2.12 1934 Act — means the Securities
    Exchange Act of 1934, as amended.

 

    2.13 Non-ISO — means an option granted
    under this Plan to purchase Stock which is intended to fail to
    satisfy the requirements of § 422 of the Code.

 

    2.14 Option — means an ISO or a Non-ISO
    which is granted under § 7.

 

    2.15 Option Certificate — means the
    written document which sets forth the terms and conditions of an
    Option granted under this Plan.

 

    2.16 Option Price — means the price which
    shall be paid to purchase one share of Stock upon the exercise
    of an Option granted under this Plan.

 

    2.17 Parent — means any corporation which
    is a parent corporation (within the meaning of
    § 424(e) of the Code) of Post.

 

    2.18 Plan — means this Amended and
    Restated Post Properties, Inc. 2003 Incentive Stock Plan as
    effective on October 16, 2008 and as amended from time to
    time thereafter or, where the context requires, the Post
    Properties, Inc. 2003 Incentive Stock Plan as in effect before
    October 16, 2008.

 

    2.19 Post — means Post Properties, Inc.
    and any successor to Post Properties, Inc.

 

    2.20 Rule 16b-3 —
    means the exemption under
    Rule 16b-3
    to Section 16(b) of the 1934 Act or any successor to
    such rule.

 

    2.21 SAR Value — means the value assigned
    by the Committee to a share of Stock in connection with the
    grant of a Stock Appreciation Right under § 8.

    

    2

 

    2.22 Stock — means the $0.01 par
    value common stock of Post.

 

    2.23 Stock Grant — means Stock granted
    under § 9.

 

    2.24 Stock Grant Certificate — means the
    written document which sets forth the terms and conditions of a
    Stock Grant.

 

    2.25 Stock Appreciation Right — means a
    right to receive the appreciation in a share of Stock which is
    granted under § 8.

 

    2.26 Stock Appreciation Right
    Certificate— means the written document which sets
    forth the terms and conditions of a Stock Appreciation Right
    which is not granted to a Key Employee as part of an Option.

 

    2.27 Subsidiary — means a corporation
    which is a subsidiary corporation (within the meaning of
    § 424(f) of the Code) of Post.

 

    2.28 Ten Percent Shareholder — means a
    person who owns (after taking into account the attribution rules
    of § 424(d) of the Code) more than ten percent of the
    total combined voting power of all classes of stock of either
    Post, a Subsidiary or Parent.

 

    § 3.
    

 

    SHARES RESERVED UNDER PLAN

 

    3.1 Number of Shares.  The number of
    shares of Stock reserved and available for issuance under this
    Plan on or after October 16, 2008 shall (subject to
    § 13) equal the number of shares of Stock which
    were available for issuance under the Plan as in effect on
    January 1, 2008 plus an additional 1,600,000 shares of
    Stock, all subject to adjustment pursuant to § 3.2.
    Such shares of Stock shall be reserved to the extent that Post
    deems appropriate from authorized but unissued shares of Stock,
    from shares of Stock which have been reacquired by Post and any
    other shares of Stock which are held as treasury shares by Post.

 

    3.2 Adjustment  The total number of shares
    of Stock reserved and available for issuance under
    § 3.1 shall be reduced (1) by 2.7 shares for
    each share of Stock issued on or after January 1, 2008
    pursuant to a Stock Grant, (2) by one share for each share
    of Stock issued on or after January 1, 2008 pursuant to the
    exercise of an Option and (3) by one share of Stock for
    each share of Stock with respect to which a Key Employee’s
    or Director’s right to appreciation under a Stock
    Appreciation Right is based if such appreciation is paid through
    the issuance of any shares of Stock on or after January 1,
    2008 under this Plan (rather than by one share for each share of
    Stock issued to effect such payment); provided, however, if a
    share of Stock issued on or after January 1, 2008 pursuant
    to a Stock Grant is forfeited, the number of shares of Stock
    available for issuance under this Plan on and after
    January 1, 2008 shall be increased by 2.7 shares for
    each forfeited share of Stock issued pursuant to such Stock
    Grant. Finally, any shares of Stock used on or after
    January 1, 2008 to satisfy a tax withholding obligation
    shall be treated as issued and shall reduce the number of shares
    available for issuance under this Plan pursuant to this
    § 3.2 based on whether the withholding relates to a
    Stock Grant, an Option or a Stock Appreciation Right.

 

    3.3 Use of Proceeds.  The proceeds which
    Post receives from the sale of any shares of Stock under this
    Plan shall be used for general corporate purposes and shall be
    added to the general funds of Post.

 

    § 4.
    

 

    EFFECTIVE DATE

 

    This Plan as amended and restated shall be effective as of
    October 16, 2008 if the shareholders of Post approve the
    amendment and restatement of this Plan at Post’s annual
    meeting on October 16, 2008. If the shareholders of Post
    fail to approve such amendment and restatement at such annual
    meeting, this Plan as in effect on October 15, 2008 shall
    remain in full force and effect.

    

    3

 

    § 5.
    

 

    COMMITTEE

 

    This Plan shall be administered by the Committee. The Committee
    acting in its absolute discretion shall exercise such powers and
    take such action as expressly called for under this Plan and,
    further, the Committee shall have the power to interpret this
    Plan and (subject to § 14 and § 15 and
    Rule 16b-3)
    to take such other action in the administration and operation of
    this Plan as the Committee deems equitable under the
    circumstances, which action shall be binding on Post, on each
    affected Key Employee or Director and on each other person
    directly or indirectly affected by such action.

 

    § 6.
    

 

    ELIGIBILITY AND GRANT CAPS

 

    Only Key Employees who are employed by Post or a Subsidiary or
    Parent shall be eligible for the grant of ISOs under this Plan.
    All Key Employees and Directors shall be eligible for the grant
    of Non-ISOs and Stock Appreciation Rights and for Stock Grants
    under this Plan. However, no Key Employee in any calendar year
    shall be granted an Option to purchase (subject to
    § 13) more than 500,000 shares of Stock or a
    Stock Appreciation Right based on the appreciation with respect
    to (subject to § 13) more than
    500,000 shares of stock unless such grant is made in
    connection with the initial employment of an individual or the
    Committee in its discretion determines that exceeding such grant
    caps is in Post’s best interest. Finally, no more than
    500,000 shares of Stock (subject to § 13) shall
    be issued pursuant to a Stock Grant made to any Key Employee in
    any calendar year unless such grant is made in connection with
    the initial employment of an individual or the Committee in its
    discretion determines that exceeding such grant cap is in
    Post’s best interest.

 

    § 7.
    

 

    OPTIONS

 

    7.1 Committee Action.  The Committee
    acting in its absolute discretion shall have the right to grant
    Options to Key Employees and to Directors under this Plan from
    time to time to purchase shares of Stock, but the Committee
    shall not have the right to reprice, replace, regrant through a
    cancellation or otherwise modify or make a cash payment with
    respect to any outstanding Options (except in connection with an
    event described in § 13) without the approval of
    Post’s shareholders if the effect of such action would be
    to directly or indirectly reduce the Option Price under any such
    outstanding Options. Each grant of an Option to a Key Employee
    or Director shall be evidenced by an Option Certificate, and
    each Option Certificate shall set forth whether the Option is an
    ISO or a Non-ISO and shall set forth such other terms and
    conditions of such grant as the Committee acting in its absolute
    discretion deems consistent with the terms of this Plan;
    however, if the Committee grants an ISO and a Non-ISO to a Key
    Employee on the same date, the right of the Key Employee to
    exercise the ISO shall not be conditioned on his or her failure
    to exercise the Non-ISO.

 

    7.2 $100,000 Limit.  No Option shall be
    treated as an ISO to the extent that the aggregate Fair Market
    Value of the Stock subject to the Option which would first
    become exercisable in any calendar year exceeds $100,000. Any
    such excess shall instead automatically be treated as a Non-ISO.
    The Committee shall interpret and administer the ISO limitation
    set forth in this § 7.2 in accordance with
    § 422(d) of the Code, and the Committee shall treat
    this § 7.2 as in effect only for those periods for
    which § 422(d) of the Code is in effect.

 

    7.3 Option Price.  The Option Price for
    each share of Stock subject to an Option shall be no less than
    the Fair Market Value of a share of Stock on the date the Option
    is granted; provided, however, if the Option is an ISO granted
    to a Key Employee who is a Ten Percent Shareholder, the Option
    Price for each share of Stock subject to such ISO shall be no
    less than 110% of the Fair Market Value of a share of Stock on
    the date such ISO is granted.

 

    7.4 Payment.  The Option Price shall be
    payable in full upon the exercise of any Option, and at the
    discretion of the Committee an Option Certificate can provide
    for the payment of the Option Price either in cash, by check or
    in Stock which is acceptable to the Committee or in any
    combination of cash, check and such Stock. The Option Price in
    addition may be paid through any cashless exercise procedure
    which is acceptable to the Committee or its

    

    4

 

    delegate. Any payment made in Stock shall be treated as equal to
    the Fair Market Value of such Stock on the date the certificate
    for such Stock (or proper evidence of such certificate) is
    presented to the Committee or its delegate in such form as
    acceptable to the Committee.

 

    7.5 Exercise Period.  Each Option granted
    under this Plan shall be exercisable in whole or in part at such
    time or times as set forth in the related Option Certificate,
    but no Option Certificate shall make an Option exercisable on or
    after the earlier of

 

			
	 	    (1) 
	
    the date which is the fifth anniversary of the date the Option
    is granted, if the Option is an ISO and the Key Employee is a
    Ten Percent Shareholder on the date the Option is
    granted, or

	 
	 	    (2) 
	
    the date which is the tenth anniversary of the date the Option
    is granted, if the Option is (a) a Non-ISO or (b) an
    ISO which is granted to a Key Employee who is not a Ten Percent
    Shareholder on the date the Option is granted.

 

    An Option Certificate may provide for the exercise of an Option
    after the employment of a Key Employee or a Director’s
    status as such has terminated for any reason whatsoever,
    including death or disability.

 

    § 8.
    

 

    STOCK APPRECIATION RIGHTS

 

    8.1 Committee Action.  The Committee
    acting in its absolute discretion shall have the right to grant
    Stock Appreciation Rights to Key Employees and to Directors
    under this Plan from time to time, and each Stock Appreciation
    Right grant shall be evidenced by a Stock Appreciation Right
    Certificate or, if such Stock Appreciation Right is granted as
    part of an Option, shall be evidenced by the Option Certificate
    for the related Option. However, the Committee shall not have
    the right to reprice, replace, regrant through a cancellation or
    otherwise modify or make a cash payment with respect to the SAR
    Value for any outstanding Stock Appreciation Right grant (except
    in connection with an event described in
    § 13) without the approval of Post’s
    shareholders if the effect of such action would be to directly
    or indirectly reduce the SAR Value under any such outstanding
    Stock Appreciation Right grant

 

    8.2 Terms and Conditions.

 

    (a) Stock Appreciation Right
    Certificate.  If a Stock Appreciation Right is
    evidenced by a Stock Appreciation Right Certificate, such
    certificate shall set forth the number of shares of Stock on
    which the Key Employee’s or Director’s right to
    appreciation shall be based and the SAR Value of each share of
    Stock. Such SAR Value shall be no less than the Fair Market
    Value of a share of Stock on the date that the Stock
    Appreciation Right is granted. The Stock Appreciation Right
    Certificate shall set forth such other terms and conditions for
    the exercise of the Stock Appreciation Right as the Committee
    deems appropriate under the circumstances, but no Stock
    Appreciation Right Certificate shall make a Stock Appreciation
    Right exercisable on or after the date which is the tenth
    anniversary of the date such Stock Appreciation Right is granted.

 

    (b) Option Certificate.  If a Stock
    Appreciation Right is evidenced by an Option Certificate, the
    number of shares of Stock on which the Key Employee’s or
    Director’s right to appreciation shall be based shall be
    the same as the number of shares of Stock subject to the related
    Option and the SAR Value for each such share of Stock shall be
    no less than the Option Price under the related Option. Each
    such Option Certificate shall provide that the exercise of the
    Stock Appreciation Right with respect to any share of Stock
    shall cancel the Key Employee’s or Director’s right to
    exercise his or her Option with respect to such share and,
    conversely, that the exercise of the Option with respect to any
    share of Stock shall cancel the Key Employee’s or
    Director’s right to exercise his or her Stock Appreciation
    Right with respect to such share. A Stock Appreciation Right
    which is granted as part of an Option shall be exercisable only
    while the related Option is exercisable. The Option Certificate
    shall set forth such other terms and conditions for the exercise
    of the Stock Appreciation Right as the Committee deems
    appropriate under the circumstances.

 

    8.3 Exercise.  A Stock Appreciation Right
    shall be exercisable only when the Fair Market Value of a share
    of Stock on which the right to appreciation is based exceeds the
    SAR Value for such share, and the payment due on exercise shall
    be based on such excess with respect to the number of shares of
    Stock to which the exercise relates. A

    

    5

 

    Key Employee or Director upon the exercise of his or her Stock
    Appreciation Right shall receive a payment from Post in cash or
    in Stock issued under this Plan, or in a combination of cash and
    Stock, and the number of shares of Stock issued shall be based
    on the Fair Market Value of a share of Stock on the date the
    Stock Appreciation Right is exercised. The Committee acting in
    its absolute discretion shall have the right to determine the
    form and time of any payment under this § 8.3.

 

    § 9.
    

 

    STOCK GRANTS

 

    9.1 Committee Action.  The Committee
    acting in its absolute discretion shall have the right to make
    Stock Grants to Key Employees and to Directors. Each Stock Grant
    shall be evidenced by a Stock Grant Certificate, and each Stock
    Grant Certificate shall set forth the conditions, if any, under
    which Stock will be issued under the Stock Grant and the
    conditions under which the Key Employee’s or
    Director’s interest in any Stock which has been issued will
    become non-forfeitable.

 

    9.2 Conditions.

 

    (a) Conditions to Issuance of Stock.  The
    Committee acting in its absolute discretion may make the
    issuance of Stock under a Stock Grant subject to the
    satisfaction of one, or more than one, condition which the
    Committee deems appropriate under the circumstances for Key
    Employees or Directors generally or for a Key Employee or a
    Director in particular, and the related Stock Grant Certificate
    shall set forth each such condition and the deadline for
    satisfying each such condition. Stock subject to a Stock Grant
    shall be issued in the name of a Key Employee or Director only
    after each such condition, if any, has been timely satisfied,
    and any Stock which is so issued shall be held by Post pending
    the satisfaction of the forfeiture conditions, if any, under
    § 9.2(b) for the related Stock Grant.

 

    (b) Forfeiture Conditions.  The Committee
    acting in its absolute discretion may make Stock issued in the
    name of a Key Employee or Director subject to one, or more than
    one, objective employment, performance or other forfeiture
    condition that the Committee acting in its absolute discretion
    deems appropriate under the circumstances for Key Employees or
    Directors generally or for a Key Employee or a Director in
    particular, and the related Stock Grant Certificate shall set
    forth each such forfeiture condition, if any, and the deadline,
    if any, for satisfying each such forfeiture condition. A Key
    Employee’s or a Director’s non-forfeitable interest in
    the shares of Stock underlying a Stock Grant shall depend on the
    extent to which he or she timely satisfies each such condition.
    Each share of Stock underlying a Stock Grant shall be
    unavailable under § 3 after such grant is effective
    unless such share thereafter is forfeited as a result of a
    failure to timely satisfy a forfeiture condition, in which event
    such share of Stock shall again become available under
    § 3 as of the date of such forfeiture.

 

    9.3 Dividends and Voting Rights.  If a
    cash dividend is paid on a share of Stock after such Stock has
    been issued under a Stock Grant but before the first date that a
    Key Employee’s or a Director’s interest in such Stock
    (1) is forfeited completely or (2) becomes completely
    non-forfeitable, Post shall pay such cash dividend directly to
    such Key Employee or Director. If a Stock dividend is paid on
    such a share of Stock during such period, such Stock dividend
    shall be treated as part of the related Stock Grant, and a Key
    Employee’s or a Director’s interest in such Stock
    dividend shall be forfeited or shall become non-forfeitable at
    the same time as the Stock with respect to which the Stock
    dividend was paid is forfeited or becomes non-forfeitable. The
    disposition of each other form of dividend which is declared on
    such a share of Stock during such period shall be made in
    accordance with such rules as the Committee shall adopt with
    respect to each such dividend. A Key Employee or a Director also
    shall have the right to vote the Stock issued under his or her
    Stock Grant during such period.

 

    9.4 Satisfaction of Forfeiture
    Conditions.  A share of Stock shall cease to be
    subject to the conditions, if any, of a Stock Grant at such time
    as a Key Employee’s or a Director’s interest in such
    Stock becomes non-forfeitable under this Plan, and such share
    (whether in paper form or direct registration form) shall be
    transferred to the Key Employee or Director as soon as
    practicable thereafter.

    

    6

 

    9.5 Section 162(m).

 

    (a) General. The Committee shall (where the
    Committee under the circumstances deems in Post’s best
    interest) either (1) make Stock Grants to Key Employees
    subject to at least one condition related to one, or more than
    one, performance goal based on the performance goals described
    in § 9.5(b) which seems likely to result in the Stock
    Grant qualifying as “performance-based compensation”
    under § 162(m) of the Code or (2) make Stock
    Grants to Key Employees under such other circumstances as the
    Committee deems likely to result in an income tax deduction for
    Post with respect to such Stock Grant. A performance goal may be
    set in any manner determined by the Committee, including looking
    to achievement on an absolute or relative basis in relation to
    peer groups or indexes, and no change may be made to a
    performance goal after the goal has been set.

 

    (b) Performance Goals. A performance goal is
    described in this § 9.5(b) if such goal relates to
    (1) Post’s return on capital costs or increases in
    return on capital costs, (2) Post’s total earnings or
    the growth in such earnings, (3) Post’s consolidated
    earnings or the growth in such earnings, (4) Post’s
    earnings per share or the growth in such earnings, (5)
    Post’s net earnings or the growth in such earnings,
    (6) Post’s earnings before interest expense, taxes,
    depreciation, amortization and other non-cash items or the
    growth in such earnings, (7) Post’s earnings before
    interest and taxes or the growth in such earnings,
    (8) Post’s consolidated net income or the growth in
    such income, (9) the value of Post’s Stock or the
    growth in such value, (10) Post’s Stock price or the
    growth in such price, (11) Post’s return on assets or
    the growth on such return, (12) Post’s cash flow or
    the growth in such cash flow, (13) Post’s total
    shareholder return or the growth in such return,
    (14) Post’s expenses or the reduction of such
    expenses, (15) Post’s growth in rent or in units
    rented, (16) Post’s overhead ratios or changes in such
    ratios, (17) Post’s funds from operations or the
    growth in Post’s funds from operations, or
    (18) Post’s economic value added or changes in such
    value added. The Committee may express any goal in alternatives,
    such as including or excluding (a) any acquisitions or
    dispositions, restructurings, discontinued operations,
    extraordinary items, and other unusual or non-recurring charges,
    (b) any event either not directly related to the operations
    of Post or not within the reasonable control of Post’s
    management, or (c) the cumulative effects of tax or
    accounting changes in accordance with U.S. generally
    accepted accounting principles.

 

    (c) Determinations. When the Committee determines
    whether a performance goal has been satisfied for any period,
    the Committee where the Committee deems appropriate may make
    such determination using any of the alternatives related to such
    goal when the goal was set by the Committee. The Committee also
    may take into account any other unusual or non-recurring items,
    including, without limitation, the charges or costs associated
    with restructurings of Post, discontinued operations, and the
    cumulative effects of accounting changes and, further, may take
    into account any unusual or non-recurring events affecting Post,
    changes in applicable tax laws or accounting principles or such
    other factors as the Committee may determine reasonable and
    appropriate under the circumstances (including, without
    limitation, any factors that could result in Post paying
    non-deductible compensation to a Key Employee).

 

    § 10.
    

 

    NON-TRANSFERABILITY

 

    No Option, Stock Grant or Stock Appreciation Right shall (absent
    the Committee’s consent) be transferable by a Key Employee
    or a Director other than by will or by the laws of descent and
    distribution, and any Option or Stock Appreciation Right shall
    (absent the Committee’s consent) be exercisable during a
    Key Employee’s or Director’s lifetime only by the Key
    Employee or Director. The person or persons to whom an Option or
    Stock Grant or Stock Appreciation Right is transferred by will
    or by the laws of descent and distribution (or with the
    Committee’s consent) thereafter shall be treated as the Key
    Employee or Director.

    

    7

 

    § 11.
    

 

    SECURITIES REGISTRATION

 

    As a condition to the receipt of shares of Stock under this
    Plan, the Key Employee or Director shall, if so requested by
    Post, agree to hold such shares of Stock for investment and not
    with a view of resale or distribution to the public and, if so
    requested by Post, shall deliver to Post a written statement
    satisfactory to Post to that effect. Furthermore, if so
    requested by Post, the Key Employee or Director shall make a
    written representation to Post that he or she will not sell or
    offer for sale any of such Stock unless a registration statement
    shall be in effect with respect to such Stock under the
    1933 Act and any applicable state securities law or he or
    she shall have furnished to Post an opinion in form and
    substance satisfactory to Post of legal counsel satisfactory to
    Post that such registration is not required. Certificates
    representing the Stock transferred upon the exercise of an
    Option or Stock Appreciation Right or upon the lapse of the
    forfeiture conditions, if any, on any Stock Grant may at the
    discretion of Post bear a legend to the effect that such Stock
    has not been registered under the 1933 Act or any
    applicable state securities law and that such Stock cannot be
    sold or offered for sale in the absence of an effective
    registration statement as to such Stock under the 1933 Act
    and any applicable state securities law or an opinion in form
    and substance satisfactory to Post of legal counsel satisfactory
    to Post that such registration is not required.

 

    § 12.
    

 

    LIFE OF PLAN

 

    No Option or Stock Appreciation Right shall be granted or Stock
    Grant made under this Plan on or after the earlier of

 

			
	 	    (1) 
	
    October 16, 2018, in which event this Plan otherwise
    thereafter shall continue in effect until all outstanding
    Options and Stock Appreciation Rights have been exercised in
    full or no longer are exercisable and all Stock issued under any
    Stock Grants under this Plan have been forfeited or have become
    non-forfeitable, or

	 
	 	    (2) 
	
    the date on which all of the Stock reserved under § 3
    has (as a result of the exercise of Options or Stock
    Appreciation Rights granted under this Plan or the satisfaction
    of the forfeiture conditions, if any, on Stock Grants) been
    issued or no longer is available for use under this Plan, in
    which event this Plan also shall terminate on such date.

 

    § 13.
    

 

    ADJUSTMENT

 

    13.1 Capital Structure. The number, kind or class
    (or any combination thereof) of shares of Stock reserved for
    issuance under § 3, the grant caps described in
    § 6, the number, kind or class (or any combination
    thereof) of shares of Stock subject to outstanding Options and
    Stock Appreciation Rights granted under this Plan and the Option
    Price of such Options and the SAR Value of such Stock
    Appreciation Rights as well as the number, kind or class (or any
    combination thereof) of shares of Stock subject to outstanding
    Stock Grants granted under this Plan shall be adjusted by the
    Committee in an equitable manner (after taking into account the
    requirements of § 409A of the Code) to reflect any
    change in the capitalization of Post which is not part of a
    corporate transaction described in § 424 of the Code,
    including, but not limited to, such changes as stock dividends,
    large non-recurring cash dividends, rights offerings, stock
    splits or spin offs, all without the approval of Post’s
    shareholders unless such approval is required under applicable
    law or the rules of the stock exchange on which shares of Stock
    are then traded.

 

    13.2 Corporate Transactions. The Committee as part
    of any corporate transaction described in § 424(a) of
    the Code shall adjust (in any manner which the Committee in its
    discretion deems equitable and consistent with § 409A
    and § 424(a) of the Code) the number, kind or class
    (or any combination thereof) of shares of Stock reserved under
    § 3 and the annual grant caps described in
    § 6 and, further, shall adjust (in any manner which
    the Committee in its discretion deems equitable and consistent
    with § 409A and § 424(a) of the Code) the
    number, kind or class (or any combination thereof) of shares of
    Stock subject to any outstanding Stock Grants under this Plan
    and any related

    

    8

 

    grant conditions and forfeiture conditions, and the number, kind
    or class (or any combination thereof) of shares subject to
    outstanding Option and Stock Appreciation Right grants
    previously made under this Plan and the related Option Price and
    SAR Value for each such Option and Stock Appreciation Right, all
    without the approval of Post’s shareholders unless such
    approval is required under applicable law or the rules of the
    stock exchange on which shares of Stock are then traded. The
    Committee in addition shall have the right (in any manner which
    the Committee in its discretion deems equitable and consistent
    with § 409A and § 424(a) of the Code and
    without regard to the annual grant caps described in
    § 6 of this Plan) to make any Stock Grants and Option
    and Stock Appreciation Right grants to effect the assumption of,
    or the substitution for, stock grants and option and stock
    appreciation right grants previously made by any other
    corporation to the extent that a corporate transaction described
    in § 424(a) of the Code calls for such substitution or
    assumption of such stock grants and stock option and stock
    appreciation right grants.

 

    13.3 Fractional Shares. If any adjustment under this
    § 13 would create a fractional share of Stock or a
    right to acquire a fractional share of Stock, such fractional
    share shall be disregarded and the number of shares of Stock
    reserved under this Plan and the number subject to any Options
    or Stock Appreciation Right grants and Stock Grants shall be the
    next lower number of shares of Stock, rounding all fractions
    downward. An adjustment made under this § 13 by the
    Committee shall be conclusive and binding on all affected
    persons.

 

    § 14.
    

 

    CHANGE IN CONTROL

 

    If there is a Change in Control of Post, then as of the Change
    Effective Date for such Change in Control any and all conditions
    to the exercise of all outstanding Options and Stock
    Appreciation Rights on such date and any and all outstanding
    issuance and forfeiture conditions on any Stock Grants on such
    date automatically shall be deemed satisfied in full as of such
    Change Effective Date, and the Board shall have the right (to
    the extent expressly required as part of such transaction) to
    cancel such Options, Stock Appreciation Rights and Stock Grants
    after providing each Key Employee and Director a reasonable
    period to exercise his or her Options and Stock Appreciation
    Rights and to take such other action as necessary or appropriate
    to receive the Stock subject to any Stock Grants.

 

    § 15.
    

 

    AMENDMENT OR TERMINATION

 

    This Plan may be amended by the Board from time to time to the
    extent that the Board deems necessary or appropriate; provided,
    however, (1) no amendment shall be made absent the approval
    of the shareholders of Post to the extent such approval is
    required under § 7.1 or § 8.1 or under
    applicable law or under the rules and regulations of the stock
    exchange on which shares of Stock are actively traded and
    (2) no amendment shall be made to § 14 on or
    after the date of any Change in Control which might adversely
    affect any rights which otherwise would vest on the related
    Change Effective Date. The Board also may suspend granting
    Options or Stock Appreciation Rights or making Stock Grants
    under this Plan at any time and may terminate this Plan at any
    time; provided, however, the Board shall not have the right
    unilaterally to modify, amend or cancel any Option or Stock
    Appreciation Right granted or Stock Grant made before such
    suspension or termination unless (x) the Key Employee or
    Director consents in writing to such modification, amendment or
    cancellation or (y) there is a dissolution or liquidation
    of Post or a transaction described in § 13 or
    § 14.

 

    § 16.
    

 

    MISCELLANEOUS

 

    16.1 Shareholder Rights. No Key Employee or Director
    shall have any rights as a shareholder of Post as a result of
    the grant of an Option or a Stock Appreciation Right pending the
    actual delivery of the Stock subject to such Option or Stock
    Appreciation Right to such Key Employee or Director. Subject to
    § 9.3, a Key Employee’s or a Director’s
    rights as a shareholder in the shares of Stock underlying a
    Stock Grant which is effective shall be set forth in the related
    Stock Grant Certificate.

 

    16.2 No Contract of Employment. The grant of an
    Option or a Stock Appreciation Right or a Stock Grant to a Key
    Employee or Director under this Plan shall not constitute a
    contract of employment or a right to continue to

    

    9

 

    serve on the Board and shall not confer on a Key Employee or
    Director any rights upon his or her termination of employment or
    service in addition to those rights, if any, expressly set forth
    in the related Option Certificate, Stock Appreciation Right
    Certificate, or Stock Grant Certificate.

 

    16.3 Withholding. Each Option, Stock Appreciation
    Right and Stock Grant shall be made subject to the condition
    that the Key Employee or Director consents to whatever action
    the Committee directs to satisfy the minimum statutory federal
    and state tax withholding requirements, if any, which Post
    determines are applicable to the exercise of such Option or
    Stock Appreciation Right or to the satisfaction of any
    forfeiture conditions with respect to Stock subject to a Stock
    Grant issued in the name of the Key Employee or Director. The
    Committee also shall have the right to provide in an Option
    Certificate, Stock Appreciation Right Certificate or a Stock
    Grant Certificate that a Key Employee or Director may elect to
    satisfy such minimum statutory federal and state tax withholding
    requirements through a reduction in the cash or the number of
    shares of Stock actually transferred to him or to her under this
    Plan. No withholding shall be effected under this Plan which
    exceeds the minimum statutory federal and state withholding
    requirements.

 

    16.4 Construction. All references to sections
    (§) are to sections (§) of this Plan unless otherwise
    indicated. This Plan shall be construed under the laws of the
    State of Georgia. Finally, each term set forth in § 2
    shall have the meaning set forth opposite such term for purposes
    of this Plan and, for purposes of such definitions, the singular
    shall include the plural and the plural shall include the
    singular.

 

    16.5 Other Conditions. Each Option Certificate,
    Stock Appreciation Right Certificate or Stock Grant Certificate
    may require that a Key Employee or Director (as a condition to
    the exercise of an Option or a Stock Appreciation Right or the
    issuance of Stock subject to a Stock Grant) enter into any
    agreement or make such representations prepared by Post,
    including (without limitation) any agreement which restricts the
    transfer of Stock acquired pursuant to the exercise of an Option
    or a Stock Appreciation Right or a Stock Grant or provides for
    the repurchase of such Stock by Post.

 

    16.6 Rule 16b-3.
    The Committee shall have the right to amend any Option, Stock
    Grant or Stock Appreciation Right to withhold or otherwise
    restrict the transfer of any Stock or cash under this Plan to a
    Key Employee or Director as the Committee deems appropriate in
    order to satisfy any condition or requirement under
    Rule 16b-3
    to the extent Rule 16 of the 1934 Act might be
    applicable to such grant or transfer.

 

    16.7 Provision for Income Taxes. The Committee
    acting in its absolute discretion shall have the power to
    authorize and direct Post to pay a cash bonus (or to provide in
    the terms of a Stock Option Certificate, Stock Appreciation
    Right Certificate or Stock Grant Certificate for Post to make
    such payment) to a Key Employee or Director to pay all, or any
    portion of, his or her federal, state and local income tax
    liability which the Committee deems attributable to his or her
    exercise of an Option or Stock Appreciation Right or his or her
    interest in the shares of Stock issued under his or her Stock
    Grant becoming non-forfeitable and, further, to pay any such tax
    liability attributable to such cash bonus.

 

    IN WITNESS WHEREOF, Post has caused its duly authorized officer
    to execute this Plan to evidence its adoption of this Plan as
    amended and restated effective October 16, 2008.

 

    POST PROPERTIES, INC.

 

    By: ­
    ­

 

    Date: ­
    ­

    

    10EX-10.2 FORM OF INDEMNIFICATION AGREEMENT

Exhibit 10.2

FORM OF AMENDED AND RESTATED INDEMNIFICATION AGREEMENT1

     This AMENDED AND RESTATED INDEMNIFICATION AGREEMENT (hereinafter “Agreement”) is made
and executed effective as of the                      day of                                         , 2008, by and between POST PROPERTIES,
INC., a Georgia corporation (the “Company”), and                                         , an individual resident
of the State of                                          (the “Indemnitee”), and amends, restates and supercedes the
Indemnification Agreement between the Company and Indemnitee dated                                         ,                     
                     (the
“Original Agreement”).

     WHEREAS, the Company and Indemnitee desire collectively to amend and restate the Original
Agreement in the form of this Agreement;

     WHEREAS, the Company is aware that, in order to induce highly competent persons to serve the
Company as directors or officers or in other capacities, the Company must provide such persons with
adequate protection through exculpation of directors from personal liability (per the Company’s
Restated Articles of Incorporation), directors and officers liability insurance, advancement of
expenses and indemnification against risks of claims and actions against them, and against damage
to their professional or personal reputations resulting from allegations, claims, actions and
investigations, arising out of or relating to their service to and activities on behalf of the
Company;

     WHEREAS, the Board of Directors of the Company has determined that it is in the best interests
of the Company’s shareholders that the Company act to assure such persons that there will be
increased certainty of such protection in the future;

     WHEREAS, it is reasonable, prudent and necessary for the Company contractually to obligate
itself to indemnify and advance the expenses of such persons to the fullest extent not prohibited
by applicable law and to guarantee such persons would realize the benefit of any subsequent changes
in applicable law relating to indemnification or advancement of expenses so that they will continue
to serve the Company free from undue concern that they will not be so indemnified, thereby ensuring
that the decisions of such persons for or on behalf of the Company will be independent, objective
and in the best interests of the Company’s shareholders;

     WHEREAS, it is reasonable, prudent and necessary for the Company to provide such persons with
the specific contractual assurance that the exculpation from personal liability for directors, the
right to directors and officers liability insurance and the rights to indemnification and
advancement of expenses provided to them remain available regardless of, among other things, any
amendment to or revocation of the indemnification or advancement of expenses provisions in the
Restated Articles of Incorporation or the Bylaws of the Company or any change in composition or
philosophy of the Company’s Board of Directors such as might occur following an acquisition or
Change of Control of the Company;

 

			
	1	 	For newly appointed directors and officers
this agreement will be used in the future, but will not be in an amended and
restated form.

 

 

     WHEREAS, it is reasonable, prudent and necessary for the Company to further provide that the
determination of whether such persons are entitled to indemnification and advancement of expenses
will not be made by a Board of Directors of uncertain composition, and that if court, arbitrator or
arbiter assistance to obtain such indemnity or advancement of expenses is required, such persons
can receive indemnity against, and the advancement of expenses incurred in pursuing their rights to
indemnification and/or advancement of expenses; and

     WHEREAS, Indemnitee is willing to serve, continue to serve, and take on additional service for
or on behalf of the Company on the condition that he/she be so indemnified;

     NOW, THEREFORE, in consideration of the premises and the mutual promises and covenants
contained herein, and for other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the Company and Indemnitee do hereby agree as follows:

     1. Indemnification.

          (a) Subject to Section 6 of this Agreement, the Company hereby agrees to hold harmless and
indemnify Indemnitee if Indemnitee is a party to a Proceeding by reason of Indemnitee’s Corporate
Status to the maximum extent not prohibited by the Georgia Business Corporation Code, as amended
(“GBCC”), as the same now exists or may hereafter be amended (but only to the extent any
such amendment permits the Company to provide broader indemnification rights than the GBCC
permitted the Company to provide prior to such amendment); provided, however, that,
except as provided in Sections 6, 8 and 10 of this Agreement, Indemnitee shall not be entitled to
Indemnification or Advancement of Expenses in connection with a Proceeding initiated by Indemnitee
(other than in a Corporate Status capacity) against the Company or any director or officer of the
Company unless the Company has joined in or consented in writing to the initiation of such
Proceeding.

          (b) Notwithstanding the foregoing or any other provision of this Agreement, the Company shall
not be obligated to indemnify Indemnitee for expenses and the payment of profits by Indemnitee
arising from the purchase and sale by Indemnitee of securities in violation of Section 16(b) of the
Securities Exchange Act of 1934, as amended (the “Exchange Act”), or any similar statute;
provided, however, that the Company may advance Expenses in accordance with Section
8 of this Agreement in connection with Indemnitee’s defense of a claim under Section 16(b) of the
Exchange Act, which advances shall be repaid to the Company if it is ultimately determined that
Indemnitee is not entitled to indemnification of such Expenses.

- 2 -

 

     2. Indemnification for Expenses When Serving on Behalf of the Company.

     To the extent that the Indemnitee has served on behalf of or at the request of the Company as
a witness or other participant in any Proceeding, the Indemnitee shall be indemnified against all
Expenses actually and reasonably incurred by the Indemnitee in connection therewith, without any
determination pursuant to Section 6.

     3. Indemnification for Expenses of a Party Who is Wholly or Partly Successful.

     Notwithstanding any other provision of this Agreement, to the extent that Indemnitee is, by
reason of Indemnitee’s Corporate Status, a party to and is successful on the merits or otherwise in
any Proceeding, Indemnitee shall be indemnified against reasonable Expenses incurred by Indemnitee
in connection with the Proceeding, regardless of whether Indemnitee has met the standards set forth
in the GBCC and without any action or determination in accordance with Section 6. If Indemnitee is
not wholly successful in such Proceeding but is successful on the merits or otherwise as to one or
more but less than all claims, issues or matters in such Proceeding, the Company shall indemnify
Indemnitee against all Expenses actually and reasonably incurred by or on behalf of Indemnitee in
connection with each claim, issue or matter with respect to which Indemnitee was successful.

     4. Partial Indemnification.

     If Indemnitee is entitled under any provision of this Agreement to Indemnification by the
Company for some or a portion of the Expenses, judgments, claims, losses and amounts paid in
settlement actually and reasonably incurred by Indemnitee in connection with the investigation,
defense, appeal or settlement of a Proceeding covered by Section 1, but is not entitled to
Indemnification for the total amount thereof, the Company shall nevertheless indemnify Indemnitee
for the portion of such Expenses, judgments, claims, losses and amounts paid in settlement actually
and reasonably incurred by Indemnitee to which Indemnitee is entitled.

     5. Notification of Proceeding and Defense of Claims Against Indemnitee.

          (a) Promptly after receipt by Indemnitee of notice of the commencement of any Proceeding,
Indemnitee shall, if a claim for Indemnification is to be made under this Agreement, notify the
Company in writing of the commencement of such Proceeding; but the omission to so notify the
Company will not relieve the Company from any liability that it may have to Indemnitee under this
Agreement or otherwise if the failure or delay does not materially prejudice the Company.

          (b) The Company shall be entitled to participate in the defense of any Proceeding to which
Indemnitee is a party by reason of Indemnitee’s Corporate Status or to assume the defense thereof,
with counsel reasonably satisfactory to Indemnitee, provided, however, if
Indemnitee concludes in good faith that (a) the use of counsel chosen by the Company to represent
Indemnitee would present such counsel with an actual or potential conflict, (b) the named parties
in the Proceeding include both

- 3 -

 

Indemnitee and the Company and Indemnitee concludes that there may be one or more legal
defenses available to Indemnitee that are different from or in addition to those available to the
Company, (c) any representation by such counsel would be precluded under the applicable standards
of professional conduct then prevailing, or (d) following a Change in Control, the Company fails to
engage counsel reasonably satisfactory to Indemnitee, then Indemnitee shall be entitled to retain
separate counsel (but not more than one law firm plus, if applicable, local counsel) at the
Company’s expense.

          (c) The Company shall not be liable to Indemnitee under this Agreement for any amounts paid
in settlement of any Proceeding effected without the Company’s prior written consent, which consent
shall not be unreasonably withheld, provided, however that the Company shall be deemed to have
consented to any settlement if the Company does not object to such settlement within thirty (30)
days after receipt by the Company of a written request for consent to such settlement. The Company
shall be required to obtain the consent of Indemnitee to settle any Proceeding in which Indemnitee
is named as a party or has potential liability exposure, unless such settlement solely involves the
payment of money and includes a complete and unconditional release of Indemnitee from all liability
on any claims that are the subject matter of the Proceeding.

          (d) As soon as practicable after the receipt of a notice of a claim for Indemnification
pursuant to this Section 5, the Company shall give prompt notice of the commencement of such
Proceeding to the insurers in accordance with the procedures set forth in the respective policies.
The Company shall thereafter take all necessary or desirable action to cause such insurers to pay,
on behalf of Indemnitee, all amounts payable as a result of such Proceeding in accordance with the
terms of the policies.

     6. Procedure for Determination of Entitlement to Indemnification.

     The parties agree that the following procedures and presumptions shall apply in the event of
any question as to whether Indemnitee is entitled to Indemnification under this Agreement
(provided, however, in the event the procedures for determination of entitlement to indemnification
as currently set forth in the GBCC are amended to create any material inconsistency between such
procedures in the GBCC and the procedures set forth below, the procedures set forth below shall
also be deemed to be amended in the same manner to the extent necessary to remove the inconsistency
without any further action on the part of the Company or Indemnitee):

          (a) To obtain Indemnification under this Agreement, Indemnitee shall submit to the Company a
written request, including therein or therewith such documentation and information as is reasonably
available to Indemnitee and is reasonably necessary to determine whether and to what extent
Indemnitee is entitled to Indemnification. The Corporate Secretary of the Company (or in the
absence of the Corporate Secretary, the Chief Financial Officer of the Company) shall, promptly
upon receipt of a claim for Indemnification from the Indemnitee, advise the Board of Directors in
writing that Indemnitee has requested Indemnification. Any Expenses incurred by the

- 4 -

 

Indemnitee in connection with the Indemnitee’s request for Indemnification hereunder shall be
borne by the Company. Subject to Section 10(c)(viii), the Company hereby indemnifies and agrees to
hold the Indemnitee harmless for any Expenses incurred by Indemnitee under the immediately
preceding sentence irrespective of the outcome of the determination of the Indemnitee’s entitlement
to Indemnification.

          (b) The Company shall not indemnify Indemnitee under Section 1(a) unless a determination has
been made for a specific Proceeding that indemnification of Indemnitee is permissible because
Indemnitee has met the standards set forth in Chapter 2, Article 8, Part 5 of the GBCC. Upon
written request by the Indemnitee for Indemnification, the entitlement of Indemnitee to
Indemnification pursuant to the terms of this Agreement shall be determined by the following person
or persons, who shall be empowered to make such determination:

                    (i) If there are two or more Disinterested Directors, by the Board of Directors by a majority
vote of all the Disinterested Directors (a majority of whom shall for such purpose constitute a
quorum) or by a majority of the members of a committee of two or more Disinterested Directors
appointed by such a vote;

                    (ii) By special legal counsel

	 	(A)	selected in the manner
prescribed in paragraph (i) of this subsection; or
	 
	 	(B)	if there are fewer than two
Disinterested Directors, selected by the Board of Directors
(in which selection directors who do not qualify as
Disinterested Directors may participate); or

                    (iii) If consented to by Indemnitee, by the shareholders, but the shares beneficially owned by
or voted under the control of the officers and directors who are at the time parties to the
Proceeding may not be voted on the determination;

provided, however, that following a Change of Control, with respect to all matters
thereafter arising out of acts, omissions or events prior to the Change of Control, upon the
request of Indemnitee, any determination concerning the rights of Indemnitee to seek
Indemnification under this Agreement shall be made by Independent Counsel. Independent Counsel
shall determine as promptly as practicable whether and to what extent Indemnitee is entitled to
Indemnification under this Agreement and applicable law and shall render a written opinion to the
Company and to Indemnitee to such effect. The Company agrees to be bound by, and not contest,
appeal or seek reconsideration of, such opinion of Independent Counsel. The Company further agrees
to pay the reasonable fees and expenses of Independent Counsel within twenty (20) days after
Independent Counsel’s statement for professional services rendered is submitted to the Company, and
to fully indemnify Independent Counsel against any and all expenses, claims, liabilities and
damages arising out of or relating to this Section 6 or its engagement pursuant hereto.

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          (c) If the person, persons or entity empowered or selected under Section 6(b) to determine
whether Indemnitee is entitled to Indemnification shall not have made a determination within thirty
(30) days after receipt by the Company of the request therefor, the requisite determination of
entitlement to Indemnification shall be deemed to have been made and Indemnitee shall be entitled
to such Indemnification, absent (i) a misstatement by Indemnitee of a material fact, or an omission
of a material fact necessary to make Indemnitee’s statement not materially misleading, in
connection with the request for indemnification, or (ii) a prohibition of such indemnification
under applicable law; provided, however, that such thirty (30) day period may be
extended for a reasonable time, not to exceed an additional thirty (30) days, if the person,
persons or entity making the determination with respect to entitlement to Indemnification in good
faith requires such additional time for the obtaining or evaluating documentation and/or
information relating thereto; and provided, further, that the foregoing provisions of this Section
6(c) shall not apply if the Indemnitee consents to determination of entitlement to indemnification
by the shareholders pursuant to Section 6(b)(iii) of this Agreement.

          (d) Indemnitee shall reasonably cooperate with the person, persons or entity making such
determination with respect to Indemnitee’s entitlement to Indemnification, including providing to
such person, persons or entity upon reasonable advance request such documentation or information
which is not privileged or otherwise protected from disclosure and which is reasonably available to
Indemnitee and reasonably necessary to such determination. Any Independent Counsel, members of the
Board of Directors, or shareholders of the Company shall act reasonably and in good faith in making
a determination under the Agreement of Indemnitee’s entitlement to Indemnification. Any Expenses
incurred by Indemnitee in so cooperating with the person, persons or entity making such
determination shall be borne by the Company (irrespective of the determination as to Indemnitee’s
entitlement to Indemnification) and the Company hereby indemnifies and agrees to hold Indemnitee
harmless therefrom.

     7. Presumptions and Effect of Certain Proceedings.

          (a) In making a determination with respect to entitlement to Indemnification pursuant to
Section 6 of this Agreement, and in any Proceeding, or court application or arbitration pursuant to
Section 10 of this Agreement, the parties agree that Indemnitee shall be presumed to be entitled to
Indemnification hereunder and the Company shall be required to make any showing necessary to the
making of any determination contrary to such presumption by the greater weight of the evidence.

          (b) The termination of any Proceeding by judgment, order, settlement or conviction, or upon a
plea of nolo contendere or its equivalent, shall not, of itself, adversely affect the rights of
Indemnitee to Indemnification, except as otherwise provided in this Agreement.

          (c) The knowledge and/or actions, or failure to act, of any director, officer, agent or
employee of the Company shall not be imputed to Indemnitee for purposes of determining the right to Indemnification under this Agreement.

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     8. Advancement of Expenses.

          (a) All Expenses actually incurred by Indemnitee as a party, witness or other participant by
reason of Indemnitee’s Corporate Status in connection with any Proceeding (including a Proceeding
by or on behalf of the Company) shall be paid by the Company in advance of the final disposition of
such Proceeding, if so requested by Indemnitee, within thirty (30) days after the receipt by the
Company of a statement or statements from Indemnitee requesting such advance or advances.
Indemnitee may submit such statements from time to time.

          (b) Such statement or statements shall reasonably evidence the Expenses incurred by
Indemnitee in connection therewith; provided, however, that following a Change of
Control or in the event of a Proceeding brought by or in the name of the Company, the Company
agrees that Indemnitee shall be required to submit to the Company only summary statements and
invoices, and that in connection with such submissions, Indemnitee shall have the right to withhold
or redact any documents or information that are protected by the attorney-client privilege or the
attorney work product doctrine.

          (c) Indemnitee’s submission of statements and requests for payment of Expenses pursuant to
this Section 8 shall include or be accompanied by: (i) a written affirmation by Indemnitee of
Indemnitee’s good faith belief that Indemnitee has met the standard of conduct necessary for
indemnification under the GBCC or that the Proceeding involves conduct for which liability has been
eliminated under a provision of the Articles of Restatement of the Articles of Incorporation of the
Company (as may be amended from time to time, the “Articles”) as authorized by Section
14-2-202(b)(4) of the GBCC, and (ii) a written undertaking, executed personally or on behalf of
Indemnitee, to repay any such amounts if it is ultimately determined that Indemnitee is not
entitled to be indemnified by the Company pursuant to this Agreement or otherwise. Such
undertaking must be an unlimited general obligation of Indemnitee, but need not be secured and
shall be accepted without reference to the financial ability of Indemnitee to make repayment.

          (d) Subject to Section 10(c)(viii), Indemnitee’s entitlement to the Advancement of Expenses
under this Agreement shall include those incurred in connection with any Proceeding by Indemnitee,
including any Proceeding, or court application or arbitration to enforce this Agreement pursuant to
Section 10 of this Agreement.

          (e) Any advances or undertakings to repay pursuant to this Section 8 shall be unsecured and
interest free.

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     9. The Company’s Obligation to Pay Indemnification Amounts.

     The Company agrees to pay to or for the benefit of Indemnitee all amounts due and owing under
its Indemnification obligations as determined pursuant to Section 6 of this Agreement within thirty
(30) days after such determination has been made and delivered to the Company. All written
opinions of Independent Counsel and all statements, invoices, judgments and/or settlement
agreements subject to the Company’s Indemnification obligations under this Agreement shall be
submitted to the Company at the address provided pursuant to Section 25 of this Agreement, and
shall be deemed received by the Company on the date of mailing or overnight delivery, the date of
transmission by electronic means, or the date of delivery by hand (as the case may be).

     10. Remedies of the Indemnitee in Cases of Determination not to Indemnify or to Advance
Expenses or Failure or Refusal of Company to Pay Indemnification Amounts.

          (a) In the event that a determination by the Company is made that Indemnitee is not entitled
to Indemnification hereunder, or if payment has not been timely made following a determination of
entitlement to Indemnification pursuant to Section 6 of this Agreement, Indemnitee shall be
entitled to apply to the court conducting the Proceeding or any other court of competent
jurisdiction for an order requiring the Company to indemnify Indemnitee in accordance with this
Agreement, GBCC Section 14-2-854 (as may be amended) and the Company’s Articles and Bylaws.
Alternatively, Indemnitee may, at Indemnitee’s sole option, commence an expedited arbitration
proceeding pursuant to the provisions of Section 10(c) below.

          (b) In the event that Expenses are not timely advanced pursuant to Section 8 of this
Agreement, Indemnitee shall be entitled to a summary determination, without a jury, of the
Company’s obligation to advance Expenses by the court conducting the Proceeding or any other court
of competent jurisdiction, in accordance with the provisions of Section 14-2-854 of the GBCC (as
may be amended). Alternatively, Indemnitee may, at Indemnitee’s sole option, commence an expedited
arbitration proceeding pursuant to the provisions of Section 10(c) below.

          (c) The parties hereby agree that, at Indemnitee’s sole election, any dispute or controversy
arising out of this Agreement, including but not limited to the determination of the Company’s
Indemnification and Advancement of Expenses obligations to Indemnitee, shall be finally resolved by
arbitration administered by JAMS pursuant to its Streamlined Arbitration Rules & Procedures then in
effect (hereinafter “JAMS Rules”) and the provisions of this subsection (c), without regard
to the amount in controversy (hereinafter the “Arbitration”). In the event there is a
conflict between the JAMS Rules and any provision of this subsection (c) or any other provision of
this Agreement, the terms of this Agreement shall govern. This clause shall not preclude the
parties from seeking provisional remedies in aid of arbitration from a court of appropriate
jurisdiction. The following provisions modify the JAMS Rules and govern an Arbitration:

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	 	(i)	 	The parties agree that the dispute in any Arbitration shall be limited to the
Company’s obligations to Indemnitee under this Agreement. The Company therefore shall
not assert any counterclaim against Indemnitee whatsoever, and shall not assert by
counterclaim, defense, avoidance or otherwise, any contractual, legal or equitable
right of recoupment, setoff, contribution, indemnification, release, waiver, estoppel,
repudiation or breach of any express or implied covenant of Indemnitee, provided,
however, that this sentence shall not be deemed to prohibit the Company from asserting
in the Arbitration that Indemnitee did not meet the standards set forth in Chapter 2,
Article 8, Part 5 of the GBCC.
	 
	 	(ii)	 	The Arbitration shall be conducted by a sole arbitrator selected pursuant to Rule 12
of the JAMS Rules from the then current list of former or retired federal judges on the
JAMS roster of arbitrators and mediators (hereinafter the “Arbitrator”).
	 
	 	(iii)	 	The Hearing (as defined in the JAMS Rules) shall be conducted in Atlanta, Georgia,
except that the Arbitrator, in order to hear a third party witness, may conduct such
portion of the Hearing at any location.
	 
	 	(iv)	 	The Hearing shall commence within sixty (60) days of the commencement of the
Arbitration pursuant to Rule 5 of the JAMS Rules.
	 
	 	(v)	 	The Final Award pursuant to Rule 19 of the JAMS Rules shall be rendered within ninety
(90) days of the commencement of the Arbitration pursuant to Rule 5 of the JAMS Rules.
	 
	 	(vi)	 	Pursuant to Rule 19(b) of the JAMS Rules, the Arbitrator shall be guided by the law
of the State of Georgia in determining the merits of the dispute.
	 
	 	(vii)	 	After the commencement of the Arbitration pursuant to Rule 5 of the JAMS Rules, no
party to the Arbitration may seek any interim or provisional relief in any court or
collateral proceeding regarding any issue or claim that is the subject of the Arbitration.

	 	(viii)	 	The Company shall pay the fees for the Arbitration pursuant to Rule 26 of the JAMS Rules
(the “Arbitration Fees”), and is solely responsible for the Arbitrator
compensation, if Indemnitee prevails in the Arbitration. In the event the Company fails
to pay the Arbitration Fees within seven (7) calendar days of the commencement of the
Arbitration, and/or in the event the Company fails to promptly pay the Arbitrator
compensation, Indemnitee may pay such amounts and such amounts shall be awarded to
Indemnitee in the Final Award. In the event the Company is the prevailing party in the
Arbitration, Indemnitee shall reimburse the Company for the Indemnitee’s pro-rata share of
the Arbitrator’s compensation, with the Company being responsible for fifty percent (50%)
of the Arbitrator’s compensation and all Indemnitees who are a party to the Arbitration
being severally, and not jointly,
responsible for the remaining fifty percent (50%).

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	 	(ix)	 	Judgment on the Final Award may be entered in any court having jurisdiction.
	 
	 	(x)	 	In the event a Final Award is rendered in favor of Indemnitee, the Company shall pay
to Indemnitee the entire amount of the Final Award within twenty (20) days of the date of
the Final Award, regardless of whether the Company decides to seek to vacate, overturn,
appeal or seek reconsideration of all or any aspect of the Final Award, subject to an
undertaking (in form and substance contemplated by Section 8(c) and 8(e) of this
Agreement) by Indemnitee to repay the amount of the Final Award to the extent that the
Final Award is subsequently vacated, overturned, reversed or otherwise successfully
appealed or reconsidered.
	 
	 	(xi)	 	In the event the Arbitration is commenced and a Final Award is rendered in favor of
Indemnitee because the Company failed to abide by a determination in favor of Indemnitee
pursuant to Section 6 of this Agreement (in violation of Section 10(g) of this Agreement,
or in the event the Company fails to timely pay the amount of the Final Award to
Indemnitee in accordance with Section 10(c)(x) of this Agreement, the Company agrees to
pay interest on the amount of the Final Award, compounded monthly, at the “prime rate” of
interest quoted from time to time in The Wall Street Journal.

          (d) The Company shall not oppose Indemnitee’s right to seek court-ordered indemnification or
advancement of expenses or commence an Arbitration pursuant to Section 10(c) of this Agreement.

          (e) Such court application, Arbitration or other Proceeding to enforce this Agreement
commenced by Indemnitee shall be made de novo, and Indemnitee shall not be prejudiced by reason of
a prior determination under this Agreement (if so made) that Indemnitee is not entitled to
Indemnification or Advancement of Expenses.

          (f) Notwithstanding any provisions of Section 14-2-854 of the GBCC to the contrary, the
parties agree that in the event that Indemnitee seeks: (i) a court order or Arbitration award
determining Indemnitee’s rights under this Agreement pursuant to this Section 10; (ii) to recover
damages for breach of this Agreement; (iii) to recover under any directors and officers liability
insurance policies maintained by the Company as required by this Agreement; or (iv) to intervene
in, or is otherwise made subject to, any Proceeding in which the validity or enforceability of this
Agreement is at issue, the Company shall, in accordance with the provisions of Section 8 of this
Agreement, advance any and all Expenses actually incurred by Indemnitee in such Proceeding.

          (g) If a determination is made or deemed to have been made pursuant to the terms of Section 6
of this Agreement that Indemnitee is entitled to Indemnification, the Company shall be bound by
such determination and shall be precluded from asserting that such determination has not been made
or that the procedure by which such determination was made is not valid, binding and enforceable.

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          (h) The Company further agrees to stipulate in any such Proceeding that the Company is bound
by all the provisions of this Agreement and is precluded from making any assertions to the
contrary.

     11. Other Rights to Indemnification and Advancement of Expenses.

     The rights to Indemnification and Advancement of Expenses provided by this Agreement are
cumulative, and not exclusive, and are in addition to any other rights to which Indemnitee may now
or in the future be entitled under any provision of the Bylaws (as may be amended from time to
time, the “Bylaws”) or Articles, any vote of shareholders or Disinterested Directors, any
provision of law or otherwise. Except as required by applicable law, the Company shall not adopt
any amendment to its Bylaws or Articles, the effect of which would be to deny, diminish or encumber
Indemnitee’s rights to Indemnification and Advancement of Expenses under this Agreement.

     12. Director and Officer Liability Insurance.

          (a) The Company shall use commercially reasonable efforts to obtain and maintain a policy or
policies of liability insurance, including broad form individual non-indemnifiable loss coverage
(with difference-in-condition feature), with reputable insurance companies providing Indemnitee
with coverage for losses from wrongful acts, including Expenses, and to ensure the Company’s
performance of its Indemnification and Advancement of Expenses obligations under this Agreement.
Such coverage shall not be on terms of coverage or amounts less favorable to Indemnitee than those
of the policies in effect on the date of this Agreement, except to the extent coverage on such
terms or in such amounts cannot be obtained through the use of commercially reasonable efforts.

          (b) The Company further agrees that all of the provisions of this Agreement shall remain in
effect regardless of whether liability or other insurance coverage is at any time obtained or
retained by the Company; except that any payments made to, or on behalf of, the Indemnitee under an
insurance policy shall reduce the obligations of the Company hereunder.

     13. Subrogation

     In the event of any payment under this Agreement, the Company shall be subrogated to the
extent of such payment to all of the rights of recovery of Indemnitee. Following receipt of
indemnification payments pursuant to this Agreement, as further assurance, Indemnitee shall execute
all papers required and take all action reasonably necessary to secure such rights, including
execution of such documents as are reasonably necessary to enable the Company to bring suit to
enforce such rights.

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     14. Spousal Indemnification and Advancement of Expenses.

     The Company shall provide Indemnitee’s spouse to whom Indemnitee is legally married at any
time Indemnitee is covered under the Indemnification provided in this Agreement (even if Indemnitee
did not remain married to him or her during the entire period of coverage) against any Proceeding
for the same period, to the same extent and subject to the same standards, limitations, obligations
and conditions under which Indemnitee is provided Indemnification herein, if Indemnitee’s spouse
(or former spouse) becomes involved in a Proceeding solely by reason of his or her status as
Indemnitee’s spouse, including, without limitation, any Proceeding that seeks damages recoverable
from marital community property, jointly-owned property or property purported to have been
transferred from Indemnitee to his/her spouse (or former spouse). Indemnitee’s spouse or former
spouse also shall be entitled to Advancement of Expenses to the same extent that Indemnitee is
entitled to Advancement of Expenses provided under Section 8 of this Agreement. The Company may
maintain insurance to cover its obligations hereunder with respect to Indemnitee’s spouse (or
former spouse) or set aside assets in a trust or escrow fund for that purpose; provided,
however, that the Company agrees that the provisions of this Agreement shall remain in
effect regardless of whether such liability or other insurance coverage is at any time obtained or
retained by the Company; except that any payments made to, or on behalf of, Indemnitee’s spouse
under such an insurance policy shall reduce the obligations of the Company hereunder.

     15. Intent.

     This Agreement is intended to confer upon Indemnitee the broadest possible rights to
indemnification and advancement of expenses not prohibited by the GBCC and shall be in addition to
any other rights Indemnitee may have under the Company’s Articles, Bylaws, applicable law or
otherwise. To the extent that a change in applicable law (whether by statute or judicial decision)
or otherwise permits greater rights to indemnification and/or advancement of expenses than would be
afforded currently under the Company’s Articles, Bylaws, applicable law or this Agreement, it is
the intent of the parties that Indemnitee enjoy by this Agreement the greater benefits so afforded
by such change. In addition, in the event of any change in applicable law, statute or rule which
narrows the right of a Georgia corporation to indemnify, or advance expenses to, a member of its
Board of Directors or an officer, employee, agent or fiduciary, such change, to the extent not
otherwise required by such law, statute or rule to be applied to this Agreement, shall have no
effect on this Agreement or the parties’ rights and obligations hereunder.

     16. Effective Date.

     The provisions of this Agreement shall cover claims or Proceedings whether now pending or
hereafter commenced and shall be retroactive to cover acts or omissions or alleged acts or
omissions which heretofore have taken place. The Company shall be liable under this Agreement, to
the extent specified in Sections 1, 2, 3, 4, 8 and 14 of this Agreement, for all acts and omissions
of Indemnitee while serving as a director and/or officer, notwithstanding the termination of
Indemnitee’s service, if such act was performed or omitted to be performed during the term of
Indemnitee’s service to the Company.

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     17. Duration of Agreement.

     This Agreement shall survive and continue even though Indemnitee may have terminated his/her
service as a director, officer, employee, agent or fiduciary of the Company or as a director,
officer, partner, employee, agent or fiduciary of any other entity, including, but not limited to
another corporation, partnership, limited liability company, employee benefit plan, joint venture,
trust or other enterprise or by reason of any act or omission by Indemnitee in any such capacity.
This Agreement shall be binding upon the Company and its successors and assigns, including, without
limitation, any corporation or other entity which may have acquired all or substantially all of the
Company’s assets or business or into which the Company may be consolidated or merged, and shall
inure to the benefit of Indemnitee and his/her spouse, successors, assigns, heirs, devisees,
executors, administrators or other legal representatives. The Company shall require any successor
or assignee (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or
substantially all of the business and/or assets of the Company, by written agreement in form and
substance reasonably satisfactory to Indemnitee, expressly to assume and agree to perform this
Agreement in the same manner and to the same extent that the Company would be required to perform
if no such succession or assignment had taken place.

     18. Disclosure of Payments.

     Except as required by any Federal or state securities laws or other Federal or state law,
neither party shall disclose any payments under this Agreement unless prior approval of the other
party is obtained.

     19. Time of the Essence.

     The parties expressly agree time is of the essence with respect to all provisions of this
Agreement.

     20. Severability.

     If any provision or provisions of this Agreement shall be held invalid, illegal or
unenforceable for any reason whatsoever, (a) the validity, legality and enforceability of the
remaining provisions of this Agreement (including, but not limited to, all portions of any
paragraphs of this Agreement containing any such provision held to be invalid, illegal or
unenforceable) shall not in any way be affected or impaired thereby and (b) to the fullest extent
possible, the provisions of this Agreement (including, but not limited to, all portions of any
paragraph of this Agreement containing any such provision held to be invalid, illegal or
unenforceable, that are not themselves invalid, illegal or unenforceable) shall be construed so as
to give effect to the intent manifest by the provision held invalid, illegal or unenforceable.

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     21. Counterparts.

     This Agreement may be executed by one or more counterparts, each of which shall for all
purposes be deemed to be an original but all of which together shall constitute one and the same
Agreement.

     22. Captions.

     The captions and headings used in this Agreement are inserted for convenience only and shall
not be deemed to constitute part of this Agreement or to affect the construction thereof.

     23. Definitions.

     For purposes of this Agreement:

     (a) “Advancement of Expenses” shall mean the advancement of expenses obligations provided
under Sections 8 and 14 of this Agreement.

     (b) “Change in Control” shall mean:

          (i) a “change in control” of the Company of a nature that would be required to be reported in
response to Item 6(e) of Schedule 14A for a proxy statement filed under Section 14(a) of the
Exchange Act as in effect on the date of this Agreement;

          (ii) a “person” (as that term is used in Section 14(d)(2) of the Exchange Act) becomes the
beneficial owner (as defined in Rule 13d-3 under the Exchange Act) directly or indirectly of
securities representing forty-five percent (45%) or more of the combined voting power for election
of directors of the then outstanding securities of the Company;

          (iii) the individuals who at the beginning of any period of two (2) consecutive years or less
(starting on or after the date of this Agreement) constitute the Company’s Board of Directors cease
for any reason during such period to constitute at least a majority of the Company’s Board of
Directors, unless the election or nomination for election of each new member of the Board of
Directors was approved by vote of at least two-thirds (2/3) of the members of such Board of
Directors then still in office who were members of such Board of Directors at the beginning of such
period;

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          (iv) the shareholders of the Company approve any reorganization, merger, consolidation or
share exchange as a result of which the common stock of the Company shall be changed, converted or
exchanged into or for securities of another organization (other than a merger with Post Apartment
Homes, L.P., Post Services, Inc., Post GP Holdings, Inc. or a wholly-owned subsidiary of the
Company), or any dissolution or liquidation of the Company or any sale or the disposition of fifty
percent (50%) or more of the assets or business of the Company;

          (v) the shareholders of the Company approve any reorganization, merger, consolidation, or
share exchange with another corporation unless (A) the persons who were the beneficial owners of
the outstanding shares of the common stock of the Company immediately before the consummation of
such transaction beneficially own more than sixty percent (60%) of the outstanding shares of the
common stock of the successor or survivor corporation in such transaction immediately following the
consummation of such transaction and (B) the number of shares of the common stock of such successor
or survivor corporation beneficially owned by the persons described in Section 23(a)(iv)(A) above
immediately following the consummation of such transaction is beneficially owned by each such
person in substantially the same proportion that each such person had beneficially owned shares of
the Company common stock immediately before the consummation of such transaction, provided,
however, (C) the percentage described in Section 23(a)(iv)(A) of the beneficially owned
shares of the successor or survivor corporation and the number described in Section 23(a)(iv)(B) of
the beneficially owned shares of the successor or survivor corporation shall be determined
exclusively by reference to the shares of the successor or survivor corporation which result from
the beneficial ownership of shares of common stock of the Company by the persons described in
Section 23(a)(iv)(A) immediately before the consummation of such transaction.

     (c) “Corporate Status” describes the status of a person who is or was a director or officer
of the Company or an individual who, while a director or officer of the Company, is or was serving
at the Company’s request as a director, officer, partner, trustee, employee, administrator or agent
of another foreign or domestic corporation, partnership, joint venture, trust, employee benefit
plan, entity, or other enterprise. Corporate Status also describes a person’s service in connection
with an employee benefit plan at the Company’s request if such person’s duties to the Company also
impose duties on, or otherwise involve services by, such person to the plan or to participants in
or beneficiaries of the plan. Corporate Status includes, in reference to a particular person unless
the context requires otherwise, the estate or personal representative of such person.

     (d) “Disinterested Director” shall mean a director of the Company who is not or was not a
party to the Proceeding in respect of which Indemnification is being sought by the Indemnitee.

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     (e) “Expenses” shall include all attorneys’ fees, retainers, court costs, arbitrator fees,
forum fees and costs, transcript costs, fees and expenses of experts, witness fees,
travel expenses, duplicating costs, printing and binding costs, telephone charges, postage,
delivery service fees, and all other disbursements or expenses incurred in connection with
prosecuting, defending, preparing to prosecute or defend, investigating or being or preparing to be
a witness in any threatened, pending or completed Proceeding, whether civil, criminal,
administrative, arbitrative or investigative in nature, in each case to the extent reasonable.

     (f) “Indemnification” shall mean the indemnification obligation provided under Paragraphs 1,
2, 3, 4 and 14 of this Agreement.

     (g) “Independent Counsel” shall mean counsel selected by Indemnitee from the then current
list of “AmLaw 100” U.S. law firms who has not otherwise performed services for Indemnitee or for
the Company or any affiliates (as such term is defined in Rule 405 under the Securities Act of
1933, as amended) of the Company (whether or not they were affiliates when services were so
performed) within the five (5) years preceding its engagement to render a written opinion pursuant
to Section 6(b) of this Agreement following a Change in Control, except that such counsel may have
provided other indemnification opinions pursuant to this Agreement within said five (5) year
period.

     (h) “Proceeding” shall mean any threatened, pending, or completed action, lawsuit, class
action, arbitration, regulatory or governmental inquiry, informal investigation or formal
investigation, or proceeding, including discovery, whether civil, criminal, administrative,
arbitrative, or investigative, whether formal or informal and including any action brought under
the federal securities laws.

     24. Entire Agreement, Modification and Waiver.

     This Agreement constitutes the entire agreement and understanding of the parties hereto
regarding the subject matter hereof, and no supplement, modification or amendment of this Agreement
shall be binding unless executed in writing by both parties hereto. No waiver of any of the
provisions of this Agreement shall be deemed or shall constitute a waiver of any other provisions
hereof (whether or not similar) nor shall such waiver constitute a continuing waiver. No
supplement, modification or amendment of this Agreement shall limit or restrict any right of
Indemnitee under this Agreement in respect of any act or omission of Indemnitee prior to the
effective date of such supplement, modification or amendment unless expressly provided therein.
Notwithstanding the foregoing, to the extent Indemnitee is a third party beneficiary of an
agreement entered into by the Company in connection with a Change in Control (a “Transaction
Agreement”), this Agreement shall in no way limit any additional protections afforded to the
Indemnitee as a third party beneficiary pursuant to the terms of such Transaction Agreement.

     25. Notices.

     All notices, requests, demands or other communications hereunder shall be in writing and shall
be deemed to have been duly given if (i) delivered by hand with receipt

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acknowledged by the party to whom said notice or other communication shall have been directed
or if (ii) mailed by certified or registered mail, return receipt requested with postage prepaid,
on the date shown on the return receipt:

	 	(a)	 	If to Indemnitee to:
	 
	 	 	 	(ADDRESS)
	 
	 	(b)	 	If to the Company, to:

Post Properties, Inc.

4401 Northside Parkway, Suite 800

Atlanta, GA 30327

Attention: __________________

with a copy to:

[Counsel Name]

[Counsel Address]

Attention: _________________

or to such other address as may be furnished to Indemnitee by the Company or to the Company by the
Indemnitee, as the case may be.

     26. Governing Law.

     The parties hereto agree that this Agreement shall be governed by, and construed and enforced
in accordance with, the laws of the State of Georgia, applied without giving effect to any
conflicts-of-law principles.

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     IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first
above written.

	 	 	 	 
	 
	 	POST PROPERTIES, INC.
	 
	 	 	 
	 
	 	 	 
	 

	 	By:
	 

	 

	 	Name:
	 

	 

	 	Title:
	 

	 
	 	 	 	 
	 
	 	INDEMNITEE
	 
	 	 	 	 
	 
	 	 	 	 
	 
	 	 

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