Document:

NPO-10K-12.2013EX10.16

Exhibit 10.16

ENPRO INDUSTRIES, INC. DEFERRED COMPENSATION PLAN 
 
(AS AMENDED AND RESTATED EFFECTIVE JANUARY 1, 2010)

4814-6611-4051.03

ENPRO INDUSTRIES, INC. DEFERRED COMPENSATION PLAN 
(AS AMENDED AND RESTATED EFFECTIVE JANUARY 1, 2010)
TABLE OF CONTENTS
	
			
	 
	Page
	

	Article I DEFINITIONS
	2
	

	1.1    Account
	2
	

	1.2    Board
	2
	

	1.3    Change in Control
	2
	

	1.4    Code
	3
	

	1.5    Code Limitations
	3
	

	1.6    Committee
	4
	

	1.7    Company
	4
	

	1.8    Compensation
	4
	

	1.9    Controlled Group
	4
	

	1.10    Controlled Group Member
	4
	

	1.11    Covered Incentive Award
	5
	

	1.12    Deferral Account
	5
	

	1.13    Effective Date
	6
	

	1.14    Eligible Employee
	6
	

	1.15    Employee
	6
	

	1.16    Employer Contribution Eligible Employee
	6
	

	1.17    Employer Contribution
	6
	

	1.18    Employer Contribution Account
	6
	

	1.19    Exchange Act
	6
	

	1.20    Matching Contributions
	6
	

	1.21    Matching Contribution Account
	6
	

	1.22    Participant
	6
	

	1.23    Participating Employer
	7
	

	1.24    Plan
	7
	

	1.25    Plan Year
	7
	

	1.26    Potential Change in Control
	7
	

	1.27    Savings Plan
	7
	

	 
	 

	ARTICLE II ELIGIBILITY AND PARTICIPATION
	8
	

	2.1    Eligibility
	8
	

	2.2    Deferral Elections
	8
	

	2.3    Employer Contributions
	9
	

	2.4    Account Adjustments
	10
	

	2.5    Account Payments
	10
	

	2.6    Withdrawals on Account of an Unforeseeable Emergency
	13
	

i
4814-6611-4051.03

	
		
	 
	Page

	Article III PLAN ADMINISTRATION
	15

	3.1    Committee
	15

	 
	 

	ARTICLE IV AMENDMENT AND TERMINATION
	16

	4.1    Amendment or Termination of Plan
	16

	 
	 

	Article V CHANGE IN CONTROL
	17

	5.1    Set Aside
	17

	5.2    Vesting
	17

	 
	 

	Article VI MISCELLANEOUS PROVISIONS
	18

	6.1    Nature of Plan and Rights
	18

	6.2    Termination of Employment
	18

	6.3    Spendthrift Provision
	18

	6.4    Employment Noncontractual
	18

	6.5    Adoption by Controlled Group Members
	19

	6.6    Taxes
	19

	6.7    Beneficiary(ies)
	19

	6.8    Payments to Minors and Incompetents
	19

	6.9    Applicable Law
	19

	6.10    Compliance with Code Section 409A
	19

ii

4814-6611-4051.03

EnPro Industries, Inc. Deferred Compensation Plan 
(As Amended and Restated Effective January 1, 2010)
Statement of Purpose
EnPro Industries, Inc. (the “Company”) maintains the EnPro Industries, Inc Deferred Compensation Plan (the “Plan”) to provide an opportunity to defer current compensation to enhance savings for certain highly compensated employees.  The Company established the Plan in order to provide designated highly compensated employees with the opportunity, on a non-qualified, unfunded basis, to defer compensation and receive employer contributions that are not available under the EnPro Industries, Inc. Retirement Savings Plan (the “Savings Plan”) due to the limitations imposed by the Internal Revenue Code. 
The Company is hereby amending and restating the Plan effective January 1, 2010  as set forth herein to (i) reflect certain design changes to the Plan with respect to deferral elections for Plan Years beginning on and after January 1, 2010, (ii) provide for the Plan’s continued documentary compliance with the requirements of Section 409A of the Code and (iii) otherwise meet current needs.  It is the intent of the Company that amounts deferred under the Plan by a Participant shall not be taxable to the Participant for income tax purposes until the time they are actually received by the Participant.  The provisions of the Plan shall be construed and interpreted to give effect to this intent.
NOW, THEREFORE, for the purposes aforesaid, the Company hereby restates the Plan effective as of January 1, 2010 as follows:

4814-6611-4051.03

ARTICLE I 
DEFINITIONS
Where the following words and phrases appear in the Plan, they have the respective meanings set forth below, unless their context clearly indicates otherwise.
		
	1.1
	Account 

The recordkeeping account maintained by a Participating Employer made up of the following: the Deferral Account, the Matching Contribution Account and the Employer Contribution Account. 
		
	1.2
	Board 

The Board of Directors of the Company.
		
	1.3
	Change in Control 

Any of the following events:
		
	(a)
	The acquisition by any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Exchange Act), of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of 20% or more of either (1) the then outstanding shares of common stock of the Company (the “Outstanding Company Common Stock”) or (2) the combined voting power of the then outstanding voting securities of the Company entitled to vote generally in the election of directors (the “Outstanding Company Voting Securities”); provided, however, that the following acquisitions shall not constitute a Change in Control:  (A) any acquisition directly from the Company (other than by exercise of a conversion privilege), (B) any acquisition by the Company or any of its subsidiaries, (C) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Company or any of its subsidiaries or (D) any acquisition by any company with respect to which, following such acquisition, more than 70% of, respectively, the then outstanding shares of common stock of such company and the combined voting power of the then outstanding voting securities of such company entitled to vote generally in the election of directors is then beneficially owned, directly or indirectly, by all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the Outstanding Company Common Stock and Outstanding Company Voting Securities immediately prior to such acquisition in substantially the same proportions as their ownership, solely in their capacity as shareholders of the Company, immediately prior to such acquisition, of the Outstanding Company Common Stock and Outstanding Company Voting Securities, as the case may be; or

		
	(b)
	individuals who, as of the Effective Date, constitute the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority of the Board; provided, 

2
4814-6611-4051.03

however, that any individual becoming a director subsequent to the Effective Date whose election, or nomination for election by the Company’s shareholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of either an actual or threatened election contest; or
		
	(c)
	consummation of a reorganization, merger or consolidation, in each case, with respect to which all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the Outstanding Company Common Stock and Outstanding Company Voting Securities immediately prior to such reorganization, merger or consolidation, do not, following such reorganization, merger or consolidation, beneficially own, directly or indirectly, solely in their capacity as shareholders of the Company, more than 70% of, respectively, the then outstanding shares of common stock and the combined voting power of the then outstanding voting securities entitled to vote generally in the election of directors, as the case may be, of the company resulting from such reorganization, merger or consolidation in substantially the same proportions as their ownership, immediately prior to such reorganization, merger or consolidation of the Outstanding Company Common Stock and Outstanding Company Voting Securities, as the case may be; or consummation of (1) a complete liquidation or dissolution of the Company or (2) a sale or other disposition of all or substantially all of the assets of the Company, other than to a company, with respect to which following such sale or other disposition, more than 70% of, respectively, the then outstanding shares of common stock of such company and the combined voting power of the then outstanding voting securities of such company entitled to vote generally in the election of directors is then beneficially owned, directly or indirectly, by all or substantially all of the individuals and entities, solely in their capacity as shareholders of the Company, who were the beneficial owners, respectively, of the Outstanding Company Common Stock and Outstanding Company Voting Securities immediately prior to such sale or other disposition in substantially the same proportion as their ownership, immediately prior to such sale or other disposition, of the Outstanding Company Common Stock and Outstanding Company Voting Securities, as the case may be. 

		
	1.4
	Code 

The Internal Revenue Code of 1986, as amended.  References to the Code shall include the valid and binding governmental regulations, court decisions and other regulatory and judicial authority issued or rendered thereunder.
		
	1.5
	Code Limitations 

Any one or more of the limitations and restrictions that Sections 401(a)(17), 401(k)(3), 401(m), 402(g) and 415(c) of the Code place on the pre-tax employee contributions and matching employer contributions of a participant in the Savings Plan.  In addition, Code Limitations 

3
4814-6611-4051.03

also means and refers to any limits placed on the contribution rate of a participant in the Savings Plan, including any such limits placed on highly compensated employees established by the administrative committee under the Savings Plan.
		
	1.6
	Committee 

The Compensation and Human Resources Committee of the Board.
		
	1.7
	Company 

EnPro Industries, Inc. and any successor thereto.
		
	1.8
	Compensation 

Compensation as defined under the Savings Plan without regard to the Code § 401(a)(17) Compensation Limit (as defined in the Savings Plan).
		
	1.9
	Controlled Group

The Company and any and all other corporations, trades and/or businesses, the Employees of which, together with Employees of the Company, are required by Code Section 414 to be treated as if they were a single employer.
		
	1.10
	Controlled Group Member

Each corporation or unincorporated trade or business that is or was a member of the Controlled Group, but only during such period as it is or was such a member of the Controlled Group.
		
	1.11
	Corporate Transaction

Any one of the following events:
		
	(a)
	Change in Ownership:  As provided in Treasury Regulation Section 1.409A-3(i)(5)(v), the date that any one person or more than one person acting as a group (within the meaning of Treasury Regulation Section 1.409A-3(i)(5)(v)(B)) acquires ownership (within the meaning of Code Section 318) of stock of the Company that, together with stock held by such person or group constitutes more than 50% of the total fair market value or total voting power of the stock of the Company; provided, however, that if any one person, or more than one person acting as a group, is considered to effectively control the company (within the meaning of Subsection (c) of this Section), the acquisition  of additional control of the Company by the same person or persons is not considered to cause a change in the ownership of the Company;

4
4814-6611-4051.03

		
	(b)
	Change in Effective Control:  

As provided in Treasury Regulation Section 1.409A-3(i)(5)(vi):
		
	(i)
	The date one person or more than one person acting as a group (within the meaning of Treasury Regulation Section 1.409A-3(i)(5)(v)(B)) acquires (or has acquired during the 12-month period ending on the date of the most recent acquisition by such person or persons) ownership (within the meaning of Code Section 318) of stock of the Company possessing at least 30% of the total voting power of the stock of the Company;  provided, however, that if any one person, or more than one person acting as a group, is considered to effectively control the company, the acquisition  of additional control of the Company by the same person or persons is not considered to cause a change in the effective control of the Company;

		
	(ii)
	The date a majority of membership of the Company’s Board is replaced during any 12-month period by directors whose appointment or election is not endorsed by a majority of the members of the Company’s Board before the date of the appointment or election; or

		
	(c)
	Change in the Ownership of a Substantial Portion of the Company’s Assets: As provided in Treasury Regulation Section 1.409A-3(i)(5)(vii), except as otherwise provided in Treasury Regulation Section 1.409A-3(i)(5)(vii)(B), the date any one person or more than one person acting as a group (within the meaning of Treasury Regulation Section 1.409A-3(i)(5)(v)(B)) acquires (or has acquired during the 12-month period ending on the date of the most recent acquisition by such person or persons) assets from the Company that have a total gross fair market value (within the meaning of Treasury Regulation Section 1.409A-3(i)(5)(vii)(A)) of at least 40% of the total gross fair market value of all the assets of the Company immediately before such acquisition or acquisitions.

		
	1.12
	Covered Incentive Award 

With respect to a Participant, any incentive award payable to such Participant pursuant to any incentive compensation plan of the Company or any Participating Employer approved for purposes of the Plan by the Committee from time to time.  Covered Incentive Awards may be payable annually, quarterly, or on such other basis as provided by the applicable incentive plan. 
		
	1.13
	Deferral Account 

The account established and maintained on the books of a Participating Employer to record a Participant's interest under the Plan attributable to amounts credited to the Participant pursuant to Section 2.2.
		
	1.14
	Effective Date

5
4814-6611-4051.03

The “Distribution Date,” as such term is defined in the Distribution Agreement among Goodrich Corporation, EnPro Industries, Inc. and Coltec Industries Inc.
		
	1.15
	Eligible Employee 

An Employee designated as an Eligible Employee in accordance with Section 2.1.  
		
	1.16
	Employee 

Any person who is classified by a Controlled Group Member as a common-law employee of such Controlled Group Member. 
		
	1.17
	Employer Contribution Eligible Employee 

An Eligible Employee eligible to receive an employer 2% Non-Safe Harbor Non-Elective Contribution under Section 7.1 of the Savings Plan’s Adoption Agreement.  
		
	1.18
	Employer Contribution 

The contributions described in Section 2.3(c).
		
	1.19
	Employer Contribution Account 

The account established and maintained on the books of a Participating Employer to record a Participant's interest under the Plan attributable to amounts credited to the Participant pursuant to Section 2.3(d).
		
	1.20
	Exchange Act 

The Securities Exchange Act of 1934.
		
	1.21
	Matching Contributions 

The contributions described in Section 2.3(a).
		
	1.22
	Matching Contribution Account 

The account established and maintained on the books of a Participating Employer to record a Participant's interest under the Plan attributable to amounts credited to the Participant pursuant to Section 2.3(b).
		
	1.23
	Participant 

Any Eligible Employee who makes an election to participate in accordance with Section 2.2.  Participant shall also include any former Eligible Employee who continues to have an Account maintained under the Plan.

6
4814-6611-4051.03

		
	1.24
	Participating Employer 

The Company and each other participating employer under the Savings Plan.
		
	1.25
	Plan 

The EnPro Industries, Inc. Deferred Compensation Plan, as the same may be amended from time to time.
		
	1.26
	Plan Year 

The calendar year. 
		
	1.27
	Potential Change in Control 

Any of the following events:
		
	(a)
	the Company entering into an agreement, the consummation of which would result in the occurrence of a Change in Control;

		
	(b)
	the Company or any individual, entity, or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Exchange Act) publicly announcing an intention to take actions, which if consummated, would constitute a Change in Control; or

		
	(c)
	the Board in its sole and exclusive discretion determining, based on facts and circumstances, that there is a possible Change in Control.

		
	1.28
	Savings Plan 

The EnPro Industries, Inc. Retirement Savings Plan for Salaried Employees, as the same may be amended from time to time. 

7
4814-6611-4051.03

ARTICLE II 
ELIGIBILITY AND PARTICIPATION
		
	2.1
	Eligibility

The Committee shall designate which Employees of the Company or any other Participating Employer shall be Eligible Employees for a given Plan Year.  An Employee designated as an Eligible Employee with respect to one Plan Year need not be designated as an Eligible Employee for any subsequent Plan Year.  The Plan is intended to limit eligibility to a “select group of management or highly compensated employees” within the meaning of the Employee Retirement Income Security Act of 1974, as amended.
		
	2.2
	Deferral Elections

		
	(d)
	Time and Form of Elections:  Elections to defer an Eligible Employee's Compensation or Covered Incentive Awards for a Plan Year must be made on such form and pursuant to such procedures as the Committee may establish from time to time and shall be irrevocable for the Plan Year with respect to both this Plan and the Savings Plan.  The election must be made prior to the start of the applicable Plan Year; provided, however, that an individual who first becomes an Eligible Employee after the start of a Plan Year may make such deferral election within 30 days after first becoming an Eligible Employee solely with regard to Compensation for services performed after such deferral election is effectively made.  An election to defer for a Plan Year shall continue in effect for each subsequent Plan Year unless revoked or modified by the Participant in accordance with procedures established by the Committee; provided, however, that with respect to any Compensation for any subsequent Plan Year, the election to defer becomes irrevocable no later than December 31 of the Plan Year preceding the Plan Year in which the Compensation is earned.

		
	(e)
	Deferral Elections: An Eligible Employee may elect to defer, on a combined basis with the Savings Plan as hereinafter provided, up to 25% of the Eligible Employee's Compensation other than Covered Incentive Awards for a Plan Year and up to 50% of the Eligible Employee’s Covered Incentive Awards for the Plan Year.  Deferrals shall be made to the maximum extent possible, subject to the Code Limitations, to the Savings Plan, and any such deferrals which cannot be made to the Savings Plan solely because of the Code Limitations shall instead be made to the Plan.  The Committee, in its sole and exclusive discretion, may determine to cause the deferral elections described above to be effected through a single election made in coordination with the Savings Plan or through separate deferral elections under the Plan and the Savings Plan.  

		
	(f)
	Deferral Accounts:  A Participating Employer shall establish and maintain on its books a Deferral Account for each Eligible Employee employed by such Participating Employer who elects to defer the receipt of any amount pursuant to 

8
4814-6611-4051.03

this Section.  The amount to be deferred under this Section for a given period shall be credited to such Deferral Account as of the date such amount would have otherwise been credited to the Savings Plan but for the Code Limitations.
		
	2.3
	Employer Contributions

		
	(a)
	Matching Contributions: A Participating Employer shall make a contribution on behalf of each Participant employed by such Participating Employer who is eligible for an allocation of matching employer contributions for a given period under the Savings Plan equal to the excess, if any, of Amount A over Amount B, where:

		
	(i)
	Amount A is the amount of matching employer contributions the Participant would have received under the Savings Plan had the Code Limitations not applied to the Savings Plan, taking into account for such purposes all matchable pre-tax and after-tax employee contributions made to the Savings Plan for the applicable period plus all amounts credited to the Participant’s Deferral Account for the applicable period pursuant to Section 2.2 that would have been matchable pre-tax employee contributions had the amounts been deferred under the Savings Plan; and

		
	(ii)
	Amount B is the amount of matching employer contributions for the Participant actually received under the Savings Plan for the applicable period.  

		
	(b)
	Matching Contribution Accounts:  A Participating Employer shall establish and maintain on its books a Matching Contribution Account for each Participant.  The Matching Contributions determined under Subsection (a) of this Section for a given period shall be credited to such Matching Contribution Account as of the date such amount would have otherwise been credited to the Savings Plan but for the Code Limitations.  

		
	(c)
	Employer Contributions:  A Participating Employer shall make a contribution for a given period on behalf of each Employer Contribution Eligible Employee employed by such Participating Employer equal to the excess, if any, of Amount A over Amount B, where: 

		
	(i)
	Amount A is 2% of the Employer Contribution Eligible Employee’s Compensation without regard to amounts credited to the Employer Contribution Eligible Employee’s Deferral Account for the applicable period pursuant to Section 2.2; and 

		
	(ii)
	Amount B is the amount of employer 2% Non-Safe Harbor Non-Elective Contributions the Employer Contribution Eligible Employee actually received under the Savings Plan for the applicable period.  

		
	(d)
	Employer Contribution Account:  A Participating Employer shall establish and maintain on its books an Employer Contribution Account for each Employer 

9
4814-6611-4051.03

Contribution Eligible Employee.  The Employer Contributions determined under Subsection (c) of this Section for a given period shall be credited to such Employer Contribution Account as of the date such amount would have otherwise been credited to the Savings Plan but for the Code Limitations.  
		
	2.4
	Account Adjustments

		
	(a)
	Account Adjustments for Deemed Investments:  The Committee shall from time to time designate one or more investment vehicle(s) in which the Accounts of Participants shall be deemed to be invested.  The investment vehicle(s) may be designated by reference to the investments available under the Savings Plan.  Each Participant shall designate the investment vehicle(s) in which his Account shall be deemed to be invested in accordance with procedures established by the Committee, except as otherwise required by the terms of the Plan.  No Participating Employer shall be under an obligation to acquire or invest in any of the deemed investment vehicle(s) under this Subsection, and any acquisition of or investment in a deemed investment vehicle by a Participating Employer shall be made in the name of such Participating Employer and shall remain the sole property of such Participating Employer. 

		
	(b)
	Default Investments:  The Committee shall also establish from time to time a default investment vehicle into which a Participant’s Account shall be deemed to be invested if the Participant fails to provide investment instructions pursuant to this Section.  

		
	(c)
	Periodic Account Adjustments:  Each Account shall be adjusted from time to time at such intervals as determined by the Committee.  The amount of the adjustment shall equal the amount that the Participant's Account would have earned (or lost) for the period since the last adjustment had the Account actually been invested in the deemed investment vehicle(s) designated by the Participant for such period pursuant to this Section. 

		
	2.5
	Account Payments

		
	(a)
	Payment Options:  Upon first becoming a Participant, each Participant shall have the opportunity to make an election as to the time and method of payment of the Participant's Account in accordance with, and subject to, the terms and provisions of this Section.  A Participant shall select from among the following forms of payment:

		
	(iii)
	Lump Sum Payment Following Termination of Employment.  The Participant’s Account shall be payable following the Participant’s termination of employment with the Controlled Group in a single cash payment. 

		
	(iv)
	Lump Sum Payment In Specified Year.  The Participant’s Account shall be payable in the calendar year elected by the Participant, but not later than 

10
4814-6611-4051.03

the calendar year in which the Participant attains age 65, in a single cash payment.
		
	(v)
	Annual Installments Following Termination of Employment.  The Participant’s Account shall be payable following the Participant’s termination of employment with the Controlled Group in annual installment payments over a period of five or ten years, as elected by the Participant.

		
	(vi)
	Annual Installments Commencing In Specified Year.  The Participant’s Account shall be payable commencing in the calendar year elected by the Participant, but not to begin later than the calendar year in which the Participant attains age 65, in annual installment payments over a period of five or ten years, as elected by the Participant.

Any election made under this Subsection shall be made on such form, at such time and pursuant to such procedures as are established by the Committee in its sole discretion from time to time.  If a Participant fails to effectively elect a payment option under this Subsection, the method of payment shall be a lump sum payment following termination of employment with the Controlled Group under Paragraph (a)(i) of this Section.  
		
	(b)
	Special 2007 Payment Election: Each Participant who was in the active service of a Participating Employer as of a date specified by the Committee prior to December 31, 2007 was given the opportunity during an election window specified by the Committee which ended no later than December 31, 2007 to make a payment election applicable to the Participant’s Account.  The Participant could elect among the following payment options:

		
	(i)
	a single payment of his entire Account payable in the first half of 2008, regardless of whether the Participant had terminated employment; 

		
	(ii)
	a payment of a portion of his Account payable in the first half of 2008, with the remaining portion of his Account payable in accordance with one of the payment options described in Subsection (a) of this Section.  In the event a Participant elected the combination payment method, the Participant had to further elect the percentage of the balance of the Account to be paid as a single cash payment in 2008 and such percentage could not be less than 25%.  Such elections became effective immediately and remain in effect unless and until changed as provided herein; or

		
	(iii)
	any one of the payment options described in Subsection (a) of this Section.  

Such election was immediately effective; provided, however, that a Participant could not make a new payment election with respect to payments the Participant was otherwise scheduled to receive during 2007.  The Account of any Participant described in this Subsection who failed to make a payment election on or before 

11
4814-6611-4051.03

December 31, 2007 under this Subsection shall be paid in a lump sum payment following termination of employment with the Controlled Group under Subsection (a)(i) of this Section.  Any subsequent change to such payment election must comply with the requirements of Subsection (e) of this Section.  Payments pursuant to such election shall otherwise be subject to the requirements of this Section.
		
	(c)
	Single Cash Payments:  If a Participant's Account is to be paid to the Participant following termination of employment with the Controlled Group in a single cash payment in accordance with Subsection (a) or (b) of this Section, the Account shall be paid in a single cash payment as soon as administratively practicable (but in no event later than 75 days) following the date of such termination of employment.

		
	(d)
	Annual Installments:  If a Participant's Account is to be paid to the Participant following termination of employment with the Controlled Group in either five or ten annual installments in accordance with Subsection (a) or (b) of this Section, the first installment shall be payable as soon as administratively practicable (but in no event later than 75 days) following the date of such termination of employment and each subsequent installment shall be payable on the anniversary of the first installment.  The amount payable for each installment shall equal the applicable portion of the Account payable in installments as of the payment date divided by the number of remaining installments (including the installment then payable).  During the installment payment period, the Account shall continue to be adjusted in accordance with the provisions of Section 2.4.

		
	(e)
	Subsequent Changes to Payment Elections:  A Participant may change the form of payment elected under Subsection (a) or (b) of this Section only if (i) such election is made at least 12 months prior to the date payment would have otherwise been made or commenced and (ii) the effect of such election is to defer commencement or payment of such payment by at least five years.  For purposes of this Subsection, a series of installment payments over five or ten years is treated as a single payment to be made in the year that the first installment would otherwise be paid.

		
	(f)
	Vesting of Employer Contribution Accounts:  Notwithstanding any provision of the Plan to the contrary, if a Participant is not 100% vested in the amount credited to the Participant's employer 2% Non-Safe Harbor Non-Elective Contributions account under the Savings Plan at the time of the Participant's termination of employment with the Controlled Group, then the amount credited to the Participant's Employer Contribution Account shall be reduced at the time of such termination of employment to an amount equal to the product of (i) the amount then credited to said Employer Contribution Account multiplied by (ii) the vested percentage applicable to the Participant's employer 2% Non-Safe Harbor Non-Elective Contributions account under the Savings Plan as of the date of such termination of employment.  The amount by which the Participant's Employer Contribution Account is reduced by application of the preceding sentence shall be forfeited at the time the Participant terminates employment.  

12
4814-6611-4051.03

		
	(g)
	Special Provisions for “Specified Employees”:  Notwithstanding any provision herein to the contrary, to the extent applicable, in no event shall any payment hereunder payable on account of a termination of employment be made to a “specified employee” within the meaning of Code Section 409A and the Company’s administrative policies, if any, earlier than six months after the date of the Participant’s termination of employment with the Controlled Group, except in connection with the Participant’s death.

		
	2.6
	Withdrawals on Account of an Unforeseeable Emergency

A Participant who is in active service of a Controlled Group Member may, in the Committee’s sole discretion, receive a refund of all or any part of the amounts previously credited to the Participant’s Accounts (to the extent vested) in the case of an “unforeseeable emergency.” A Participant requesting a payment pursuant to this Section shall have the burden of proof of establishing, to the Committee’s satisfaction, the existence of such “unforeseeable emergency,” and the amount of the payment needed to satisfy the same.  In that regard, the Participant shall provide the Committee with such financial data and information as the Committee may request.  If the Committee determines that a payment should be made to a Participant under this Section such payment shall be made within a reasonable time after the Committee’s determination of the existence of such “unforeseeable emergency” and the amount of payment so needed.  The Committee may in its discretion establish the order in which amounts shall be withdrawn under this Section from a Participant’s Accounts.  As used herein, the term “unforeseeable emergency” means a severe financial hardship to a Participant resulting from a sudden and unexpected illness or accident of the Participant or of a dependent of the Participant (as defined in Code Section 152, without regard to Sections 152(b)(1), (b)(2), and (d)(1)(B)), or loss of the Participant’s property due to casualty, or other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the Participant.  The circumstances that shall constitute an “unforeseeable emergency” shall depend upon the facts of each case, but, in any case, payment may not be made to the extent that such hardship is or may be relieved (i) through reimbursement or compensation by insurance or otherwise, (ii) by liquidation of the Participant’s assets, to the extent the liquidation of such assets would not itself cause severe financial hardship, or (iii) by cessation of deferrals under the Plan.  Examples of what are not considered to be “unforeseeable emergencies” include, without limitation, the need to send a Participant’s child to college or the purchase of a home.  Withdrawals of amounts because of an “unforeseeable emergency” shall not exceed an amount reasonably needed to satisfy the emergency need. 
		
	2.7
	Corporate Transactions

In accordance with Code Section 409A(a)(2)(A)(v) and notwithstanding any other provision of this Article (but subject to the provisions of Section 2.5(g)), upon the occurrence of a Corporate Transaction, the portion of a Participant’s Account attributable to (a) the Participant’s Compensation deferred pursuant to Section 2.2,  (b) Matching Contributions and/or (c) Employer Contributions allocated to the Participant’s Account 

13
4814-6611-4051.03

on or after January 1, 2010 will be paid in a single cash payment no later than the last day of the second month following the Corporate Transaction.

14
4814-6611-4051.03

ARTICLE III     
PLAN ADMINISTRATION
		
	3.1
	Committee

The Plan shall be administered by the Committee.  The Committee shall be empowered to interpret the provisions of the Plan and to perform and exercise all of the duties and powers granted to it under the terms of the Plan by action of a majority of its members in office from time to time.  The Committee may adopt such rules and regulations for the administration of the Plan as are consistent with the terms hereof and shall keep adequate records of its proceedings and acts.  All interpretations and decisions made (both as to law and fact) and other action taken by the Committee with respect to the Plan shall be conclusive and binding upon all parties having or claiming to have an interest under the Plan.  Not in limitation of the foregoing, the Committee shall have the sole discretion to decide any factual or interpretative issues that may arise in connection with its administration of the Plan (including without limitation any determination as to claims for benefits hereunder), and the Committee’s exercise of such discretion shall be conclusive and binding on all affected parties in the absence of clear and convincing evidence that the Committee acted arbitrarily and capriciously.  The Committee may delegate any of its duties and powers hereunder to the extent permitted by applicable law.

15
4814-6611-4051.03

ARTICLE IV     
AMENDMENT AND TERMINATION
		
	4.1
	Amendment or Termination of Plan

		
	(e)
	Amendment:  The Company may amend or terminate the Plan at any time so that no further benefits shall accrue under the Plan or may, from time to time, amend the Plan, without the consent of Participants or Beneficiaries; provided, however, that no such amendment or termination shall reduce the actual amount of the accrued benefit of a Participant under the Plan on the date of such amendment or termination.  

		
	(f)
	Termination:  Notwithstanding Section 4.1(a) above, the Company may terminate the Plan and accelerate the distribution all benefits accrued hereunder only if: (i) all nonqualified plans that are account balance plans maintained by the Controlled Group are terminated within 30 days preceding or 12 months following a “change in control”, as defined under Code Section 409A, and all payments are made within 12 months of the termination of the Plan; (ii) the termination of the Plan is within 12 months of a corporate dissolution taxed under Code Section 331, or with the approval of a bankruptcy court pursuant to 11 U.S.C. Section 503(b)(1)(A); or (iii) all nonqualified plans that are account balance plans maintained by all Controlled Group Members are terminated, no payments are made within 12 months of the termination of the Plan (other than those that would have been paid absent the termination), all payments are made within 24 months of the termination of the Plan, and no Controlled Group Member adopts another nonqualified deferred compensation plan that is a account balance plan for a period of three years following the date of the termination of the Plan.  Notwithstanding the foregoing, such termination and distribution of benefits may only occur to the extent permitted by Code Section 409A.  

16
4814-6611-4051.03

ARTICLE V     
CHANGE IN CONTROL
		
	5.1
	Set Aside

Upon or following the occurrence of a Potential Change in Control, if so directed by the Board in its sole and exclusive discretion, the Company shall set aside in a grantor trust, either existing or to be established, such amount as may be determined by the Board not to exceed the projected benefit obligations under the Plan as of the anticipated date of the possible Change in Control, less any amounts previously set aside in a grantor trust to provide benefits under the Plan. 
If a Change in Control does not occur within a reasonable time from the date such funds are set aside, the funds, adjusted for any gains or losses, shall revert to the Company.
		
	5.2
	Vesting

Upon the occurrence of a Change in Control, each Participant shall become fully vested in his entire Account under the Plan as of the date of the Change in Control.  Such vested Account shall be paid at the time and in the manner provided in Section 2.5.

17
4814-6611-4051.03

ARTICLE VI     
MISCELLANEOUS PROVISIONS
		
	6.1
	Nature of Plan and Rights

The Plan is unfunded and intended to constitute an incentive and deferred compensation plan for a select group of officers and key management employees of the Participating Employers.  If necessary to preserve the above intended plan status, the Committee, in its sole discretion, reserves the right to limit or reduce the number of actual participants and otherwise to take any remedial or curative action that the Committee deems necessary or advisable.  The Accounts established and maintained under the Plan by a Participating Employer are for accounting purposes only and shall not be deemed or construed to create a trust fund of any kind or to grant a property interest of any kind to any Participant, designated beneficiary or estate.  The amounts credited by a Participating Employer to such Accounts are and for all purposes shall continue to be a part of the general assets of such Participating Employer, and to the extent that a Participant, beneficiary or estate acquires a right to receive payments from such Participating Employer pursuant to the Plan, such right shall be no greater than the right of any unsecured general creditor of such Participating Employer.
		
	6.2
	Termination of Employment

For the purposes of the Plan, termination of employment means any termination of employment with either the Company or any successor to the Company that acquires all or substantially all of the business and/or assets of the Company (whether direct or indirect, by purchase, merger, consolidation or otherwise).  For purposes of this Agreement, whether a “termination of employment” has occurred shall be determined consistent with the requirements of Code Section 409A and the Company’s administrative policies, if any.
		
	6.3
	Spendthrift Provision

No Account balance or other right or interest under the Plan of a Participant, beneficiary or estate may be assigned, transferred or alienated, in whole or in part, either directly or by operation of law, and no such balance, right or interest shall be liable for or subject to any debt, obligation or liability of the Participant, designated beneficiary or estate.
		
	6.4
	Employment Noncontractual

The establishment of the Plan shall not enlarge or otherwise affect the terms of any Employee’s employment with his Participating Employer, and such Participating Employer may terminate the employment of the Employee as freely and with the same effect as if the Plan had not been established.

18
4814-6611-4051.03

		
	6.5
	Adoption by Controlled Group Members

The Plan may be adopted by any Controlled Group Member that has adopted the Savings Plan, such adoption to be effective as of the date specified by such Controlled Group Member at the time of adoption.
		
	6.6
	Taxes

Any deferral or payment hereunder shall be subject to applicable payroll and withholding taxes.  
		
	6.7
	Beneficiary(ies)

If a Participant dies prior to having received the entire balance of the Participant's Account, the remaining vested balance in the Account shall be payable to the Participant's beneficiary(ies) determined under the Savings Plan as and when such amounts would have otherwise been payable to the Participant.  
		
	6.8
	Payments to Minors and Incompetents

In the event any amount becomes payable under the provisions of the Plan to a Participant, beneficiary or other person who is a minor or an incompetent, whether or not declared incompetent by a court, such amount may be paid directly to the minor or incompetent person or to such person’s fiduciary (or attorney-in-fact in the case of an incompetent) as the Committee, in its sole discretion, may decide, and the Committee shall not be liable to any person for any such decision or any payment pursuant thereto.
		
	6.9
	Applicable Law

The Plan shall be governed and construed in accordance with the laws of the State of North Carolina, except to the extent such laws are preempted by the laws of the United States of America. 
		
	6.10
	Compliance with Code Section 409A

The Plan is intended to comply with Code Section 409A.  Notwithstanding any provision of the Plan to the contrary, the Plan shall be interpreted, operated and administered consistent with its intent.

19
4814-6611-4051.03

IN WITNESS WHEREOF, this instrument has been executed by the Company on October 28, 2009.

	
		
	ENPRO INDUSTRIES, INC.

	 
	 

	By:
	/s/ Richard L. Magee

	 
	 

	Name:
	Richard L. Magee

	 
	 

	Title:
	Senior Vice President

20
4814-6611-4051.03NPO-10K-12.31.2013EX10.17

	
	
	Exhibit 10.17

ENPRO INDUSTRIES, INC.
DEFERRED COMPENSATION PLAN FOR NON-EMPLOYEE DIRECTORS
(as amended and restated effective January 1, 2014)
1.INTRODUCTION.  EnPro Industries, Inc. (the “Company”) maintains the EnPro Industries, Inc. Deferred Compensation Plan for Non-Employee Directors (the “Plan”).  The Company amended and restated the Plan effective as of February 12, 2008 to reflect certain design changes in order for the Plan to comply with the requirements of Section 409A of the Code and to otherwise meet current needs.  The Company is hereby amending and restating the Plan, effective January 1, 2014, to reflect an increase in the amount Non-Elective Deferrals under Section 4(b) hereof. It is the intent of the Company that amounts deferred under the Plan for a Non-Employee Director shall not be taxable to the Non-Employee Director for income tax purposes until the time they are actually received by the Non-Employee Director.  The provisions of the Plan shall be construed and interpreted to give effect to this intent.
1.    DEFINITIONS.
“Accounts” of a Participant mean collectively the Participant’s Cash Account and Stock Account.
“Board” means the members of the Board of Directors of the Company.
“Cash Account” means the account maintained in dollars on the books of the Company to record a Participant’s interest under the Plan attributable to any amounts deferred by the Participant into the Cash Account pursuant to Section 6(b) below, as adjusted from time to time pursuant to the terms of the Plan.
“Code” means the Internal Revenue Code of 1986, as amended.  References to the Code include the valid and binding governmental regulations, court decisions and other regulatory and judicial authority issued or rendered thereunder.
“Common Stock” means the common stock of the Company.
“Company” means EnPro Industries, Inc. and includes any successor thereto.
“Fair Market Value” of a share of Common Stock means the mean of the high and low prices of Common Stock on the relevant date (as of 4:00 P.M.  Eastern Standard Time) as reported on the New York Stock Exchange — Composite Transactions listing (or similar report), or, if no sale was made on such date, then on the next preceding day on which such a sale was made.
“Meeting Fees” means the fees a Non-Employee Director receives for attending meetings of the Board and any committee of the Board, as well as any fee a Non-Employee Director receives for serving as chairman of any committee of the Board.

1

“Non-Employee Director” means a member of the Board who is not an employee of the Company or any affiliate of the Company.
“Participant” means any Non-Employee Director who has an Account under the Plan.  Participant shall also include any former Non-Employee Director who continues to have an Account maintained under the Plan.
“Phantom Shares”  means Phantom Shares awarded under the EnPro Industries, Inc. 2002 Equity Compensation Plan.
“Phantom Units” means the Stock Units awarded to Non-Employee Directors under Section 4(b).
“Plan” means the EnPro Industries, Inc. Deferred Compensation Plan for Non-Employee Directors, as the same may be amended from time to time.
“Plan Administrator” means a committee consisting of the Chief Executive Officer of the Company and two other officers of the Company selected by him.
“Plan Year” means a calendar year.
“Retainer” means the cash portion of the annual retainer paid by the Company to a Non-Employee Director, and does not include the portion of the annual retainer (if any) paid in the form of Phantom Units or Phantom Shares. 
“Stock Account” means the account maintained in Stock Units on the books of the Company to record a Participant’s interest under the Plan attributable to any amounts deferred by the Participant into the Stock Account pursuant to Section 6(b) or credited by the Company pursuant to Section 4(b), as adjusted from time to time pursuant to the terms of the Plan.  If applicable, a Participant’s Stock Account will have two subaccounts, one to record amounts deferred pursuant to Section 4(a), and one to record amounts credited by the Company pursuant to Section 4(b).
“Stock Unit” means a unit having a value as of a given date equal to the Fair Market Value of one (1) share of Common Stock on such date.
2.    ADMINISTRATION.  The Plan shall be administered by the Plan Administrator.  The Plan Administrator shall be empowered to interpret the provisions of the Plan and to perform and exercise all of the duties and powers granted to it under the terms of the Plan.  The Plan Administrator may adopt such rules and regulations for the administration of the Plan as are consistent with the terms hereof and shall keep adequate records of its proceedings and acts.  All interpretations and decisions made (both as to law and fact) and other action taken by the Plan Administrator with respect to the Plan shall be conclusive and binding upon all parties having or claiming to have an interest under the Plan.  Not in limitation of the preceding provisions of this Section, the Plan Administrator shall have the discretion to decide any factual or interpretative issues that may arise in connection with its administration of the Plan (including without limitation any determination as to claims for benefits hereunder), and the Plan Administrator’s exercise of such 

2

discretion shall be conclusive and binding on all affected parties as long as it is not arbitrary or capricious.  The Plan Administrator may delegate any of its duties and powers hereunder to the extent permitted by applicable law.
3.    PARTICIPATION.  
(a)    Elective Deferrals.  Each Non-Employee Director may elect to defer compensation under the Plan by filing the written Election Form described in Section 5 with the Plan Administrator with respect to Retainers and Meeting Fees payable to the Non-Employee Director for such Non-Employee Director’s services as a member of the Board.  If a person ceases to be a Non-Employee Director but continues to serve as a Director, the person shall no longer be eligible to make deferral elections under the Plan.
(b)    Nonelective Deferrals.  Effective beginning on the date of the first Board meeting in 2014, and on the date of the first Board meeting in each calendar year thereafter, the Company will award each Non-Employee Director Phantom Units having a value of $90,000.  If a person ceases to be a Non-Employee Director but continues to serve as a Director, the person shall no longer be eligible for awards of Phantom Units under the Plan.
4.    DEFERRAL ELECTIONS.
(a)    Elections to Defer.  Each Participant may elect to defer receipt of all or a portion of such Participant’s Retainer and Meeting Fees at such times and pursuant to such procedures as set forth in paragraph (b) of this Section, such amounts to be credited to the Participant’s Accounts as described in Section 6 and to become payable in accordance with the provisions of Section 7.
(b)    Form and Timing of Elections.  To be effective, elections to defer all or any portion of the Retainer or Meeting Fees for a Plan Year must be made on such form and pursuant to such procedures as the Plan Administrator may establish from time to time and shall be irrevocable for the Plan Year.  The election must be made prior to the start of the applicable Plan Year; provided, however, that an individual who first becomes a Non-Employee Director after the start of a Plan Year may make such deferral election within thirty (30) days after first becoming a Non-Employee Director solely with respect to the Retainer and Meeting Fees for services performed after such deferral election.  An election to defer for a Plan Year shall continue in effect for each subsequent Plan Year unless revoked or modified by the Participant in accordance with procedures established by the Plan Administrator; provided, however, that with respect to any Retainer and Meeting Fees for any subsequent Plan Year, the election to defer becomes irrevocable no later than December 31 of the preceding Plan Year.
5.    ESTABLISHMENT OF AND ADJUSTMENT OF ACCOUNTS.
(a)    Establishment of Accounts.  The Company shall establish and maintain a Cash Account and a Stock Account for each Participant.  Each Account shall be designated by the name of the Participant for whom established.  Each Account shall be maintained on the books of the Company until full payment of the balance thereof has been made to the applicable Participant (or 

3

the beneficiaries of a deceased Participant).  No funds shall be set aside or earmarked for any Account, which shall be purely a bookkeeping device.
(b)    Direction of Elective Deferrals into Cash Account or Stock Account.  Any elective deferrals by a Participant under Section 4(a) shall be credited to the Participant’s Cash Account or Stock Account as the Participant shall elect at such times, on such forms and pursuant to such procedures as the Plan Administrator may establish from time to time in accordance with Section 5(b).  If no election is made, any amount deferred shall be credited to the Participant’s Cash Account.  To the extent any amount is to be credited to a Participant’s Cash Account, such amount shall be credited to the Cash Account as of the date the amount would have otherwise been paid to the Participant.  To the extent any amount is to be credited to a Participant’s Stock Account, the Stock Account shall be credited as of the date the amount would have otherwise been paid to the Participant with the number of whole and fractional Stock Units equal to the applicable dollar amount divided by the Fair Market Value of a share of Common Stock on such date.  Except as otherwise provided in Section 6(e) below, a Participant may not subsequently reallocate amounts between the Cash Account and Stock Account after the deferrals have been credited.
(c)    Account Adjustments:  Cash Account.  The Plan Administrator shall designate from time to time one or more investment vehicle(s) in which the Cash Accounts of Participants shall be deemed to be invested.  The investment vehicle(s) may be designated by reference to the deemed investments available under the management deferred compensation plan.  Each Participant shall designate the investment vehicle(s) in which his or her Cash Account shall be deemed to be invested according to the procedures developed by the Plan Administrator, except as otherwise required by the terms of the Plan.  The Company shall not be under any obligation to acquire or invest in any of the deemed investment vehicle(s) under this subparagraph, and any acquisition of or investment in a deemed investment vehicle by the Company shall be made in the name of the Company and shall remain the sole property of the Company.  The Plan Administrator shall also establish from time to time a default fund into which a Participant’s Cash Account shall be deemed to be invested if the Participant fails to provide investment instructions pursuant to this Section 6(c).
The intervals at which each Cash Account shall be adjusted shall be as determined by the Plan Administrator from time to time.  The Plan Administrator may determine the frequency of Cash Account adjustments by reference to the frequency of account adjustments under the management deferred compensation plan.  The amount of the adjustment shall equal the amount that the Participant’s Cash Account would have earned (or lost) for the period since the last adjustment had the Cash Account actually been invested in the deemed investment vehicle(s) designated by the Participant for such period pursuant to this Section 6(c).
(d)    Account Adjustments:  Stock Account.  Each Stock Account shall be credited additional whole or fractional Stock Units for cash dividends paid on the Common Stock based on the number of Stock Units in the Stock Account on the applicable dividend record date and calculated based on the Fair Market Value of the Common Stock on the applicable dividend payment date.  Each Stock Account shall also be equitably adjusted as determined by the Plan Administrator in the event of any stock dividend, stock split or similar change in the capitalization of the Company.

4

(e)    Reallocation to Stock Account.  Notwithstanding anything in the Plan to the contrary, during the period from February 21, 2006 through March 14, 2006 only, a Participant may elect to reallocate all or any portion of amounts allocated to the Cash Account to the Stock Account.  To the extent any amount is to be credited to a Participant’s Stock Account pursuant to a reallocation election, the Stock Account shall be credited as of March 31, 2006 with the number of whole and fractional Stock Units equal to the applicable dollar amount the Participant has elected to reallocate divided by the Fair Market Value of a share of Common Stock on such date.  A Participant may not elect to reallocate any amounts between the Cash Account and the Stock Account other than as provided in this Section 6(e).
6.    PAYMENT.
(a)    Special Payment Elections
(i)    Special Payments Elections for 2006.  Each Participant who is a Non-Employee Director as of a date specified by the Plan Administrator prior to December 31, 2006 shall be given the opportunity during an election window specified by the Plan Administrator and ending no later than December 31, 2006 to make a payment election applicable to the aggregate balance of the Participant’s Accounts.  The Participant may elect from the payment options set forth in Subsection (b) of this Section, and such election shall be immediately effective; provided, however, that a Participant may not elect to receive during 2006 any payment that would otherwise be payable in a future year; and provided further, that a Participant may not make a new payment election with respect to payments the Participant is otherwise scheduled to receive during 2006.  In the event a Participant covered by this Section fails to make a payment election on or before December 31, 2006 under this Section, the payment method shall be (X) the payment method most recently elected by the Participant under the Plan according to the records of the Plan Administrator, even if that prior payment election had not yet become effective, or (Y) in the absence of any such prior payment election, a single payment following termination of service as a member of the Board as set forth in Subsection (b) of this Section.  Any subsequent change to such payment election must comply with the requirements of Subsection (c) of this Section.  Payments pursuant to such election shall otherwise be subject to the requirements of this Section.
(ii)    Special Payments Elections for 2007.  Each Participant who is a Non-Employee Director as of a date specified by the Plan Administrator prior to December 31, 2007 shall be given the opportunity during an election window specified by the Plan Administrator and ending no later than December 31, 2007 to make a payment election applicable to the Participant’s Accounts.  For each of the Participant’s Accounts, the Participant may elect (A) a single payment of the Participant’s Accounts payable between January 1, 2008 and January 31, 2008, as set forth in Subsection (b) of this Section treating 2007 as the year of the Participant’s termination of services as a member of the Board, (B) from the payment options set forth in Subsection (b) of this Section, or (C) a combination of (A) and (B); provided, however, that the portion of the Participant’s Accounts payable in accordance with (A) must be at least 25% of the Participant’s Accounts calculated on 

5

December 31, 2007.  Such election shall be immediately effective; provided, however, that a Participant may not make a new payment election with respect to payments the Participant is otherwise scheduled to receive during 2007.  In the event a Participant covered by this paragraph fails to make a payment election on or before December 31, 2007 under this paragraph, the payment method shall be (X) the payment method most recently elected by the Participant under the Plan according to the records of the Plan Administrator, even if that prior payment election had not yet become effective, or (Y) in the absence of any such prior payment election, a single payment following termination of service as a member of the Board as set forth in Subsection (b) of this Section.  Any subsequent change to such payment election must comply with the requirements of Subsection (c) of this Section.  Payments pursuant to such election shall otherwise be subject to the requirements of this Section.
(b)    Payment Options for Elective Deferrals.  At the time a Participant first makes an election to defer a Retainer or Meeting Fees under Section 4(a) of the Plan, the Participant shall be given the opportunity to elect one of the following payment options for the distribution of the Participant’s Accounts attributable to elective deferrals:  
(i)    Single Payment Following Termination of Service as Board Member.  If a Participant to whom the single payment applies terminates service as a member of the Board, such Participant’s Accounts shall continue to be adjusted under Section 6 through the end of the calendar year in which such termination occurs.  The final balance of the Participant’s Accounts as of such date shall be paid in a single payment to the Participant (or to the Participant’s designated beneficiary if the Participant dies prior to distribution of such Participant’s Account) between January 1 and January 31 of the following calendar year.  The Cash Account shall be payable in cash, and the Stock Account shall be payable by delivery of one share of Common Stock for each whole Stock Unit, with cash for any fractional Stock Unit (based on the Fair Market Value of the Common Stock as of December 31 of the calendar year in which termination occurs).
(ii)    Annual Installments Following Termination of Service as Board Member.  A Participant may elect to receive annual installments over a period of five or ten years.  If a Participant to whom the annual installments method applies terminates service as a member of the Board, the amount of such annual installments shall be calculated and paid pursuant to the provisions of this paragraph (b)(ii).  The Participant’s Accounts shall continue to be credited with adjustments under Sections 6 above until the Accounts are fully paid out.  The first installment shall be paid between January 1 and  January 31 of the calendar year immediately following the calendar year in which such termination of services occurs, and each subsequent installment shall be paid between January 1 and  January 31 of each subsequent calendar year.  Each payment shall be equal to (i) the sum of the Participant’s balance in each Account as of December 31 of the calendar year immediately preceding the calendar year of payment, multiplied by (ii) a fraction, the numerator of which is one and the denominator is the number of installments remaining, including the current year’s payment.  The portion of each installment payable from the Cash Account shall be paid in cash, and the portion of each installment payable from the Stock Account shall be payable 

6

by delivery of one share of Common Stock for each whole Stock Unit, with cash for any fractional Stock Unit (based on the Fair Market Value of the Common Stock as of December 31 of the calendar year immediately preceding the calendar year of payment).
A Participant’s payment election shall be made on the election form used by the Participant for making such Participant’s initial deferral election and shall be effective with respect to the aggregate balance of the Participant’s Accounts attributable to elective deferrals.  A Participant who fails to make a payment election in accordance with the provisions of this Subsection shall be deemed to have elected a single payment to be paid in accordance with the requirements of paragraph (i) of this Subsection.
(c)    Subsequent Changes to Elective Deferral Payment Elections.  A Participant whose services as a Board member have not terminated may change the form of payment elected under Section 7(a) or (b) only if (i) such election is made at least 12 months prior to the date payment would have otherwise commenced and (ii) the effect of such election is to defer commencement of such payment by at least five years.  For purpose of this Section, a series of installment payments over five or ten years is treated as a single payment to be made in the year that the first installment would otherwise be paid.
(d)    Payment Method for Phantom Units.  When a Participant terminates service as a member of the Board, the value of a Participant’s Stock Account attributable to Phantom Units will continue to be adjusted under Section 6 through the end of the calendar year in which such termination occurs.  The final balance of this subaccount of the Participant’s Stock Account shall be paid in a single cash payment to the Participant (or to the Participant’s designated beneficiary, if the Participant dies prior to distribution of such Participant’s Account) between January 1 and January 31 of the following calendar year.  The amount paid will be based on the Fair Market Value of the Common Stock as of December 31 of the calendar year in which termination occurs.
(e)    Death.  If a Participant dies after having commenced installment payments, any remaining unpaid installment payments shall be paid to the Participant’s beneficiary as and when they would have otherwise been paid to the Participant had the Participant not died.  If a Participant’s termination of service as a Board member is due to his death, the Participant’s Accounts shall be payable to the Participant’s beneficiary in a single payment to be made as soon as administratively practicable after the date of the Participant’s death. In this event, amounts paid from the Participant’s Stock Account will be based on the Fair Market Value of the Common Stock on the date of death.  Participants shall designate a beneficiary under the Plan on a form furnished by the Plan Administrator, and if a Participant does not have a beneficiary designation in effect, the designated beneficiary shall be the Participant’s estate.
(f)    Other Payment Provisions.  Subject to the provisions of Section 8, a Participant shall not be paid any portion of the Participant’s Accounts prior to the Participant’s termination of service as a member of the Board.  Any payment hereunder shall be subject to applicable withholding taxes.  If any amount becomes payable under the provisions of the Plan to a Participant, beneficiary or other person who is a minor or an incompetent, whether or not declared incompetent by a court, such amount may be paid directly to the minor or incompetent person or to such person’s legal representative (or attorney-in-fact in the case of an incompetent) as the Plan Administrator, in its 

7

sole discretion, may decide, and the Plan Administrator shall not be liable to any person for any such decision or any payment pursuant thereto.
(g)    Account Statements.  Each Participant shall receive an annual statement of the balance in the Participant’s Accounts.
7.    TERMINATION AND AMENDMENT. 
(a)    The Corporation may amend or terminate the Plan at any time so that no further benefits shall accrue under the Plan or may, from time to time, amend the Plan, without the consent of Participants or Beneficiaries; provided, however, that no such amendment or termination shall reduce the actual amount of the accrued benefit of a Participant under the Plan on the date of such amendment or termination.  
(b)    Notwithstanding Section 8(a) above, the Company may terminate the Plan and accelerate the distribution of all benefits accrued hereunder to the extent permitted by Code Section 409A.  
8.    APPLICABLE LAW.  The Plan shall be construed, administered, regulated and governed in all respects under and by the laws of the United States to the extent applicable, and to the extent such laws are not applicable, by the laws of the state of North Carolina.
9.    COMPLIANCE WITH SECTION 409A OF THE CODE.  The Plan is intended to comply with Section 409A of the Code.  Notwithstanding any provision of the Plan to the contrary, the Plan shall be interpreted, operated and administered consistent with this intent.
10.    COMPLIANCE WITH LAWS AND REGULATIONS.  Notwithstanding any other provisions of the Plan, the issuance or delivery of any shares of Common Stock may be postponed for such period as may be required to comply with any applicable requirements of any national securities exchange or any requirements under any other law or regulation applicable to the issuance or delivery of such shares, and the Company shall not be obligated to issue or deliver any such shares if the issuance or delivery thereof shall constitute a violation of any provision of any law or any regulation of any governmental authority, whether foreign or domestic, or any national securities exchange.
11.    MISCELLANEOUS.  A Participant’s rights and interests under the Plan may not be assigned or transferred by the Participant.  The Plan shall be an unsecured, unfunded arrangement.  To the extent the Participant acquires a right to receive payments from the Company under the Plan, such right shall be no greater than the right of any unsecured general creditor of the Company.  The Company shall not be required to segregate any amounts credited to any Accounts, which shall be established merely as an accounting convenience.  Nothing contained herein shall be deemed to create a trust of any kind or any fiduciary relationship between the Company and any Participant.  The Plan shall be binding on the Company and any successor in interest of the Company.

8

IN WITNESS WHEREOF, this instrument has been executed by an authorized officer of the Company as of the 20th day of December, 2013, effective as of January 1, 2014.

	
		
	ENPRO INDUSTRIES, INC.

	 
	 

	 
	 

	By:
	/s/ Robert S. McLean

	 
	 

	Name:
	Robert S. McLean

	 
	 

	Title:
	Vice President

9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00226-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00226-of-00352.parquet"}]]