Document:

Prepared by R.R. Donnelley Financial -- Annual Incentive Compensation Plan

  Exhibit 10.1
 

  TECO ENERGY, INC. 
  ANNUAL INCENTIVE COMPENSATION PLAN

  REVISED AS OF APRIL 17, 2002 
 

 

  BASIC PLAN CONCEPT 
 The Annual Incentive Compensation Plan provides a consistent framework for applying annual incentive pay to officers of
TECO Energy and each of its operating units. Each participant is assigned a target award amount, expressed as a percentage of the greater of salary range midpoint or annual salary, which will represent an appropriate incentive payment when
performance is at the targeted level. Smaller awards may be earned when performance is below target, and larger awards may be earned when performance exceeds target. 
 Performance for each participant will be
measured, in part, against a combination of one or more quantifiable profit and operational goals. These goals will be set at the corporate and operating levels, and most participants will have a portion of their awards related to each. The
remaining portion of each participant’s performance that is not measured by the quantified goals mentioned above will be evaluated on a subjective basis considering overall contribution level and achievement of other individual goals. Each
participant will have a “Business Challenge” goal, to reflect the participant’s contribution to: (a) mitigating the impact of unexpected adverse business or regulatory developments on the business unit or (b) enhancing profitability
or capacity for profit, through effective management initiatives beyond those included in the business plan.
  ELIGIBILITY 
 All officers that are approved by the Chief
Executive Officer of TECO Energy and the Compensation Committee of the TECO Energy Board (the “Compensation Committee”) will be eligible to participate.
  TARGET AWARD LEVELS 
 Target award levels are established at a level that, when combined with each participant’s base salary, will provide a fully competitive total cash compensation opportunity. The incentive portion of the total
compensation opportunity reflects compensation “at risk” which is directly related to performance and results achieved. Generally, the portion of compensation “at risk” (i.e., the target award level) is influenced by the level of
the participant’s accountability for contributing to bottom-line results, the degree of influence the participant has over results and competitive practice.
  ESTABLISHING PERFORMANCE GOALS AND WEIGHTINGS

 For each plan year, profit, growth and/or operational effectiveness goals will be established for TECO Energy and each of its operating units. Financial goals may measure performance relative to other
companies over periods of one-year or longer. 
 For each financial goal the target level of performance, as well as threshold and maximum levels, will be approved by the Compensation Committee. Threshold
performance represents the minimum performance that still warrants incentive recognition for that particular goal (paid at 50 percent of the target award level), and maximum performance represents the highest level likely to be attained (paid at 150
percent of the target award level for all goals, except the Business Challenge goal which can be paid

   at 200 percent). One-time gains and losses that were not contemplated in the TECO Energy business plan will not be included in calculating financial results for purposes of this plan.
Regardless of the degree of achievement of each established goal, the payout to all participants will be zero if TECO Energy’s net income for that year is not at or above the threshold set for that year by the Compensation Committee.

A determination will be made for each participant regarding their portion of the award that will be based on corporate, operating unit or individual performance. Generally, the weightings among these three measurement
groups will vary by organizational level.
  APPLICATION OF DISCRETION 
 While not anticipated to be a common occurrence, the Compensation Committee may occasionally
decide that the plan formula would unduly penalize or reward management. In such cases, award funds may be increased or decreased to better meet the plan’s intent of relating rewards to management performance.
 
  AWARD DETERMINATION 
 At the end of each plan year, a four-step process will be followed in determining actual incentive awards.

	Step 1:	The actual degree of achievement for each goal at the corporate, operating unit and individual level is determined. Levels of achievement can range up to 200 percent for the Business Challenge goal and up to
150 percent for all other goals.
	 	 
	Step 2:	Corporate, operating unit and individual performance factors are determined by multiplying levels of goal achievement by the weightings assigned to each goal.
	 	 
	Step 3:	The total of all performance factors is multiplied by the target award, producing the calculated award.
	 	 
	Step 4:	The calculated award may be adjusted up or down by the Compensation Committee with respect to the senior officers and by the Chief Executive Officer of TECO Energy with respect to other officers, based on
the participant’s total performance during the plan year. The actual award, as so adjusted, may not exceed 150 percent of the target award level and will be approved by the Compensation Committee.

 
  PLAN ADMINISTRATION 
 The Compensation Committee and the Chief Executive Officer of TECO Energy shall perform the respective functions set forth in this plan. The Compensation
Committee may elect to discharge its responsibility in the form of recommendations to the TECO Energy Board. The Chief Human Resources Officer of TECO Energy is responsible for administering the plan.
  OTHER
CONSIDERATIONSPrepared by R.R. Donnelley Financial -- Supplemental Executive Retirement Plan

  Exhibit 10.2
  TECO ENERGY GROUP 
 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 
 FOR RICHARD LEHFELDT 
             The purpose of this plan is to provide Richard Lehfeldt, Senior Vice President – External Affairs of TECO Energy, with additional retirement income
by supplementing the retirement benefits provided under the retirement plan. The plan is effective as of April 17, 2002.
             The terms and
benefits of Mr. Lehfeldt’s plan shall be the same as the terms and benefits of the 1998 Amendment and Restatement of the TECO Energy Group Supplemental Executive Retirement Plan (the “TECO SERP”) applicable to a person covered by
Part Two of the TECO SERP, except that for purposes of Mr. Lehfeldt’s plan Section 5.1 of the TECO SERP shall read as follows:
 
        5.1    Retirement at or after normal retirement age . Subject to the reductions described in Section 8.1 below, each eligible officer who retires on or after attaining
normal retirement age will receive a supplemental monthly pension equal to one-twelfth of the following:.four percent of his average annual earnings multiplied by his years of service up to a maximum of 20 years. A participant’s retirement
benefit hereunder will be calculated using his years of service and average annual earnings as of the actual date of his retirement.
 Any amendments to the TECO SERP shall automatically amend this
plan.
             Executed as of _______________________________, 2002.

	

	 	 TECO Energy, Inc. 

	 	 	By:  	 
		 	 	

	 	 	 	C. E. Childress
Chief Human Resources Officer

	

	 	

	 	 	 	 
		 	 	

	 	 	 	Richard Lehfeldt
Sr. Vice President – External AffairsPrepared by R.R. Donnelley Financial -- Omnibus Amendment-Panda Gila River

  Exhibit 10.3
  OMNIBUS AMENDMENT 
                         This OMNIBUS AMENDMENT (this “ Amendment ”) to the TECO Guaranties (as defined
below), dated as of October 31, 2001, by and among TECO Energy, Inc. (“ Guarantor ”) and Administrative Agent (as defined below).
   W   I   T   N   E  
S   S   E   T   H:  
                         WHEREAS,
Panda Gila River, L.P., a Delaware limited partnership (“ Gila River Borrower ”), Citibank, N.A., as administrative agent (in such capacity, “ Gila River Administrative Agent ”), Societe Generale, as LC Bank
(“ LC Bank ”) and the other financial institutions named therein (the “ Banks ”) have entered into that certain Gila River Project Credit Agreement, dated as of May 31, 2001 (the “ Credit Agreement
”), pursuant to which the Banks agreed to make certain advances of credit to Gila River Borrower in the amounts specified and on the terms and subject to the conditions set forth therein;
                         WHEREAS, Gila River Borrower, Citibank, N.A., as administrative agent (in such capacity, “
Gilla River Bridge Administrative Agent ” and together with Gila River Administrative Agent, “ Administrative Agent ”), and the other financial institutions named therein (the “ Bridge Banks ”) have entered
into that certain Gila River Project Bridge Loan Agreement, dated as of May 31, 2001 (the “ Bridge Loan Agreement ”), pursuant to which the Bridge Banks agreed to make certain advances of credit to Gila River Borrower in the amounts
specified and on the terms and subject to the conditions set forth therein;
                         WHEREAS, Guarantor has entered into that certain Equity Bridge Guaranty, dated as of May 31, 2001
(the “ Equity Bridge Guaranty ”), in favor of Gila River Administrative Agent, pursuant to which Guarantor guaranteed the obligations of Gila River Borrower under the Bridge Loan Agreement;
                         WHEREAS, Guarantor has entered into that certain Equity Contribution Guaranty, dated as of May 31,
2001 (the “ Equity Contribution Guaranty ”), in favor of Gila River Administrative Agent, pursuant to which the Guarantor guaranteed the equity contribution obligations of the partners of Gila River Borrower under that certain
Equity Contribution Agreement (as defined in the Credit Agreement);
                         WHEREAS, Guarantor has entered into that certain Contingent Equity Contribution Guaranty, dated as
of May 31, 2001 (the “ Contingent Equity Contribution Guaranty ” and together with the “Equity Contribution Guaranty” and the “Equity Bridge Guaranty”, the “ TECO Guaranties ”), in favor of Gila
River Administrative Agent, pursuant to which Guarantor guaranteed certain contingent payment obligations of the partners of Gila Borrower under that certain Contingent Equity Contribution Agreement (as defined in the credit Agreement”);
and
                         WHEREAS, Guarantor has requested that the definition of the
term “Contingent Obligation” and Section 4.3(b) of each TECO Guaranty be modified as set forth herein to clarify that a structured finance transaction being contemplated by Guarantor does not trigger certain covenants of Guarantor set
forth in such TECO Guaranties.
  

   AGREEMENT 
                         NOW THEREFORE, in consideration of the premises and mutual agreements herein contained and for
other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, agree to amend the TECO Guaranties as follows:
             Section 1.    Definitions and Interpretation . Capitalized terms used herein and not otherwise defined herein shall have the meanings set forth in
the TECO Guaranties.
             Section 2.    Amendments to TECO Guaranties. 
                         2.1    Definition of Contingent Obligation . The definition of the term
“Contingent Obligation” in each of the TECO Guaranties is hereby amended by deleting the last sentence of such definition and adding in lieu thereof;
 
“The amount of any Contingent Obligation
shall be deemed to be the maximum probable liability in respect thereof (assuming such Person is required to perform thereunder) as determined in good faith by Guarantor.”
                         2.2    Section 4.3(b) . Section 4.3(b) of each TECO Guaranty is hereby
amended by deleting the word “its” in the fourth line thereof and adding in lieu thereof the phrase “any Significant Subsidiary’s”.
             Section 3.    Miscellaneous .
                         3.1    Execution and Effectiveness of this Amendment . This Amendment, once
executed, shall be construed as an omnibus amendment to the TECO Guaranties. This Amendment shall be effective as of the date hereof upon the execution and delivery of this Amendment by the parties hereto.
                         3.2    Headings . Headings herein are for convenience only and shall not be
relied upon in interpreting or enforcing this Amendment.
                         3.3    Counterparts . This Amendment may be executed in any number of
counterparts and by the different parties hereto on separate counterparts, each of which when so executed and delivered shall be an original, but all of which shall together constitute one and the same instrument.
                         3.4    Severability . Any provision of this Amendment held to be invalid,
illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions
hereof; and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction.
                         3.5    Governing Law . This Amendment shall be governed by, and construed in
accordance with, the law of the State of New York.
 2

                          3.6    No Other Amendments
. This Amendment is made in amendment and modification of, but not extinguishment of, the obligations of Guarantor set forth in the TECO Guaranties, and, except as specifically modified pursuant to the terms of this Amendment, the terms and
conditions of the TECO Guaranties hall remain in full force and effect. Nothing herein shall limit in any way the rights and remedies of the parties hereto under the TECO Guaranties. Except as otherwise expressly provided herein, the execution,
delivery and performance by the parties hereto of this Amendment shall not constitute a waiver, forbearance or other indulgence with respect to any of the TECO Guaranties amended hereby.
  [REMAINDER OF PAGE
INTENTIONALLY LEFT BLANK]
 3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}]]