Document:

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                                                                     EXHIBIT 4.4

[EBS LOGO]
THE EXECUTIVE NONQUALIFIED EXCESS PLAN.

                                  THE EXECUTIVE

                       NONQUALIFIED "EXCESS" PLAN(TM)

                                  PLAN DOCUMENT

                                                                [EBS LOGO]

(C) 2003 Executive Benefit Services, Inc.                       EXECUTIVE
4140 ParkLake Avenue, Suite 500                                 BENEFIT
Raleigh, NC 27612                                               SERVICES

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[EBS LOGO]
THE EXECUTIVE NONQUALIFIED EXCESS PLAN.

                                  THE EXECUTIVE
                         NONQUALIFIED "EXCESS" PLAN(TM)

                                TABLE OF CONTENTS

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<S>                                                                                 <C>
Section 1.     Purpose:......................................................         1

Section 2.     Definitions:..................................................         1
       2.1     "Accrued Benefit" ............................................         1
       2.2     "Active Participant" .........................................         1
       2.3     "Adoption Agreement" .........................................         2
       2.4     "Beneficiary" ................................................         2
       2.5     "Board" ......................................................         2
       2.6     "Committee" ..................................................         2
       2.7     "Compensation" ...............................................         2
       2.8     "Crediting Date" .............................................         2
       2.9     "Deferred Compensation Account" ..............................         2
       2.10    "Disability" .................................................         2
       2.11    "Education Account" ..........................................         3
       2.12    "Education Subaccount" .......................................         3
       2.13    "Education Recipient" ........................................         3
       2.14    "Effective Date" .............................................         3
       2.15    "Employee" ...................................................         3
       2.16    "Employer" ...................................................         4
       2.17    "Employer Credits" ...........................................         4
       2.18    "Independent Contractor" .....................................         4
       2.19    "In-Service Account" .........................................         4
       2.20    "Normal Retirement Date" .....................................         4
       2.21    "Participant" ................................................         5
       2.22    "Participating Employer" .....................................         5
       2.23    "Plan" .......................................................         5
       2.24    "Plan Administrator" .........................................         5
       2.25    "Plan Year" ..................................................         5
       2.26    "Qualifying Distribution Event" ..............................         5
       2.27    "Retire" or "Retirement" .....................................         5
       2.28    "Retirement Account" .........................................         5
       2.29    "Salary Deferral Agreement" ..................................         6
       2.30    "Salary Deferral Credits".....................................         6
       2.31    "Service" ....................................................         6
       2.32    "Sponsor" ....................................................         6
       2.33    "Spouse" or "Surviving Spouse"................................         6
       2.34    "Trust" ......................................................         6
       2.35    "Trustee" ....................................................         6
       2.36    "Years of Service" ...........................................         6
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<S>                                                                                  <C>
Section 3.     Participation:................................................         7

Section 4.     Credits to Deferred Compensation Account:.....................         7
       4.1     Salary Deferral Credits.......................................         7
       4.2     Employer Credits..............................................         8
       4.3     Deferred Compensation Account.................................         8

Section 5.     Qualifying Distribution Events:...............................         8
       5.1     Death of a Participant........................................         8
       5.2     Disability of a Participant...................................         9
       5.3     Termination of Service........................................         9
       5.4     Retirement....................................................         9

Section 6.     Distributions While in Service:...............................         9
       6.1     In-Service Withdrawals........................................         9
       6.2     Financial Hardship Withdrawals................................        10
       6.3     "Haircut" Withdrawals.........................................        11
       6.4     Education Withdrawals.........................................        11

Section 7.     Qualifying Distribution Events Payment Options:...............        12
       7.1     Payment Options...............................................        12
       7.2     Prepayment....................................................        13

Section 8.     Vesting:......................................................        13

Section 9.     Accounts; Deemed Investment; Adjustments to Account:..........        14
       9.1     Accounts......................................................        14
       9.2     Deemed Investments............................................        14
       9.3     Adjustments to Deferred Compensation Account..................        14

Section 10.    Benefit Exchange:.............................................        15

Section 11.    Transfer to Qualified Plan:...................................        15
       11.1    Maximize Qualified Plan Deferrals.............................        15
       11.2    Maximize Qualified Plan Match.................................        16
       11.3    Transfer Deferral to Qualified Plan...........................        16
       11.4    Credit Match to Qualified Plan................................        16
       11.5    Compliance with Qualified Plan................................        17

Section 12.    Administration by Committee:..................................        17
       12.1    Membership of Committee.......................................        17
       12.2    Committee Officers; Subcommittee..............................        17
       12.3    Committee Meetings............................................        17
       12.4    Transaction of Business.......................................        18
       12.5    Committee Records.............................................        18
       12.6    Establishment of Rules........................................        18
       12.7    Conflicts of Interest.........................................        18
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<TABLE>
<S>                                                                                  <C>
       12.8    Correction of Errors..........................................        18
       12.9    Authority to Interpret Plan...................................        19
       12.10   Third Party Advisors..........................................        19
       12.11   Compensation of Members.......................................        19
       12.12   Expense Reimbursement.........................................        19
       12.13   Indemnification...............................................        19

Section 13.    Contractual Liability; Trust:.................................        20
       13.1    Contractual Liability.........................................        20
       13.2    Trust.........................................................        20

Section 14.    Allocation of Responsibilities:...............................        21
       14.1    Board.........................................................        21
       14.2    Committee.....................................................        21
       14.3    Plan Administrator............................................        21

Section 15.    Benefits Not Assignable; Facility of Payments:................        21
       15.1    Benefits not Assignable.......................................        21
       15.2    Payments to Minors and Others.................................        22

Section 16.    Beneficiary:..................................................        22

Section 17.    Amendment and Termination of Plan:............................        23

Section 18.    Communication to Participants:................................        23

Section 19.    Claims Procedure:.............................................        24
       19.1    Filing of a Claim for Benefits................................        24
       19.2    Notification to Claimant of Decision..........................        24
       19.3    Procedure for Review..........................................        25
       19.4    Decision on Review............................................        25
       19.5    Action by Authorized Representative of Claimant...............        25

Section 20.    Miscellaneous Provisions:.....................................        26
       20.1    Set off.......................................................        26
       20.2    Notices.......................................................        26
       20.3    Lost Distributees.............................................        26
       20.4    Reliance on Data..............................................        27
       20.5    Receipt and Release for Payments..............................        27
       20.6    Headings......................................................        27
       20.7    Continuation of Employment....................................        27
       20.8    Merger or Consolidation; Assumption of Plan...................        28
       20.9    Construction..................................................        28
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[EBS LOGO]
THE EXECUTIVE NONQUALIFIED EXCESS PLAN.

                                  THE EXECUTIVE
                         NONQUALIFIED "EXCESS" PLAN(TM)

            SECTION 1. PURPOSE:

            By execution of the Adoption Agreement, the Employer has adopted the
Plan set forth herein to provide a means by which certain management Employees
and Independent Contractors of the Employer may elect to defer receipt of
current Compensation from the Employer in order to provide Retirement and other
benefits on behalf of such Employees and Independent Contractors of the
Employer, as selected in the Adoption Agreement. The Plan is not intended to be
a tax-qualified retirement plan under Section 401(a) of the Internal Revenue
Code (the "Code"). The Plan is intended to be an unfunded plan maintained
primarily for the purpose of providing deferred compensation benefits for a
select group of management or highly compensated employees under Sections
201(2), 301(a)(3) and 401(a)(1) of the Employee Retirement Income Security Act
of 1974 and independent contractors.

            SECTION 2. DEFINITIONS:

            As used in the Plan, including this Section 2, references to one
gender shall include the other and, unless otherwise indicated by the context:

            2.1 "ACCRUED BENEFIT" means, with respect to each Participant, the
balance credited to his Deferred Compensation Account.

            2.2 "ACTIVE PARTICIPANT" means, with respect to any day or date, a
Participant who is in Service on such day or date; provided, that a Participant
shall cease to be an Active Participant immediately upon a determination by the
Committee that the Participant has ceased to be an Employee or Independent
Contractor, or that the Participant no longer meets the eligibility requirements
of the Plan.

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            2.3 "ADOPTION AGREEMENT" means the written agreement pursuant to
which the Employer adopts the Plan. The Adoption Agreement is a part of the Plan
as applied to the Employer.

            2.4 "BENEFICIARY" means the person, persons, entity or entities
designated or determined pursuant to the provisions of Section 16 of the Plan.

            2.5 "BOARD" means the Board of Directors of the Employer, if the
Employer is a corporation. If the Employer is not a corporation, "Board" shall
mean the Employer.

            2.6 "COMMITTEE" means the administrative committee provided for in
Section 12.

            2.7 "COMPENSATION" shall have the meaning designated in the Adoption
Agreement.

            2.8 "CREDITING DATE" means the date designated in the Adoption
Agreement for crediting the amount of any Salary Deferral Credits to the
Deferred Compensation Account of a Participant. Employer Credits may be credited
to the Deferred Compensation Account of a Participant on any day that securities
are traded on a national securities exchange.

            2.9 "DEFERRED COMPENSATION ACCOUNT" means the sum of the amounts
credited to the Retirement Account, the In-Service Account and the Education
Account of each Participant, as applicable. The Deferred Compensation Account of
each Participant shall be adjusted as provided in Section 9.

            2.10 "DISABILITY" means disability as defined in the Adoption
Agreement.

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            2.11 "EDUCATION ACCOUNT" means a separate account to be kept for
each Participant that can be divided into one or more Education Subaccounts as
described in Section 6.4. The Education Account shall be established, adjusted
for payments, credited with Salary Deferral Credits, and credited or debited for
deemed investment gains or losses in the same manner and at the same time as
such adjustments are made to the Deferred Compensation Account under Section 9
and in accordance with the rules and elections in effect under Section 9.

            2.12 "EDUCATION SUBACCOUNT" means the subaccount of the Education
Account which is maintained with respect to an Education Recipient. If the
Participant does not designate more than one Education Recipient, the Education
Account shall be the Education Subaccount with respect to such Education
Recipient.

            2.13 "EDUCATION RECIPIENT" means the individual designated by the
Participant in the Salary Deferral Agreement with respect to whom the
Participant will create an Education Subaccount.

            2.14 "EFFECTIVE DATE" shall be the date designated in the Adoption
Agreement as of which the Plan first becomes effective.

            2.15 "EMPLOYEE" means an individual in the Service of the Employer
if the relationship between the individual and the Employer is the legal
relationship of employer and employee and if the individual is a highly
compensated or management employee of the Employer. An individual shall cease to
be an Employee upon the Employee's termination of Service.

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            2.16 "EMPLOYER" means the Employer identified in the Adoption
Agreement, and any Participating Employer which adopts this Plan. The Employer
may be a corporation, a limited liability company, a partnership or sole
proprietorship. All references herein to the Employer shall be applied
separately to each such Employer as if the Plan were solely the Plan of that
Employer.

            2.17 "EMPLOYER CREDITS" means the amounts credited to the
Participant's Retirement Account by the Employer pursuant to the provisions of
Section 4.2.

            2.18 "INDEPENDENT CONTRACTOR" means an individual in the Service of
the Employer if the relationship between the individual and the Employer is not
the legal relationship of employer and employee. An individual shall cease to be
an Independent Contractor upon the termination of the Independent Contractor's
Service. An Independent Contractor shall include a director of the Employer who
is not an Employee.

            2.19 "IN-SERVICE ACCOUNT" means a separate account to be kept for
each Participant, as described in Section 6.1. The In-Service Account shall be
established, adjusted for payments, credited with Salary Deferral Credits, and
credited or debited for deemed investment gains or losses in the same manner and
at the same time as such adjustments are made to the Deferred Compensation
Account under Section 9 and in accordance with the rules and elections in effect
under Section 9.

            2.20 "NORMAL RETIREMENT DATE" of a Participant is designated in the
Adoption Agreement. The "Retirement Date" of a Participant means the date the
Participant attains his Retirement Age.

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            2.21 "PARTICIPANT" means with respect to any Plan Year an Employee
or Independent Contractor who has been designated by the Committee as a
Participant and who has entered the Plan or who has an Accrued Benefit under the
Plan.

            2.22 "PARTICIPATING EMPLOYER" means any trade or business (whether
or not incorporated) which adopts this Plan with the consent of the Employer
identified in the Adoption Agreement.

            2.23 "PLAN" means The Executive Nonqualified Excess Plan(TM), as
herein set out or as duly amended. The name of the Plan as applied to the
Employer shall be designated in the Adoption Agreement.

            2.24 "PLAN ADMINISTRATOR" means the person designated in the
Adoption Agreement. If the Plan Administrator designated in the Adoption
Agreement is unable to serve, the Employer shall be the Plan Administrator.

            2.25 "PLAN YEAR" means the twelve-month period ending on the last
day of the month designated in the Adoption Agreement.

            2.26 "QUALIFYING DISTRIBUTION EVENT" means the Participant's
Retirement or the termination of Participant's Service with the Employer for any
reason, including as a result of his death or Disability, as described in
Section 5.

            2.27 "RETIRE" OR "RETIREMENT" means Retirement within the meaning of
Section 5.4.

            2.28 "RETIREMENT ACCOUNT" means a separate account to be kept for
each Participant, as described in Section 4.3. The Retirement Account shall be
established, adjusted for payments, credited with Salary Deferral Credits and
Employer Credits, and credited or debited for deemed investment gains or losses
in the same manner and at the same time as such

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adjustments are made to the Deferred Compensation Account under Section 9 and in
accordance with the rules and elections in effect under Section 9.

            2.29 "SALARY DEFERRAL AGREEMENT" means a written agreement entered
into between a Participant and the Employer pursuant to the provisions of
Section 4.1

            2.30 "SALARY DEFERRAL CREDITS" means the amounts credited to the
Participant's Deferred Compensation Account by the Employer pursuant to the
provisions of Section 4.1.

            2.31 "SERVICE" means employment by the Employer as an Employee. If
the Participant is an Independent Contractor, "Service" shall mean the period
during which the contractual relationship exists between the Employer and the
Participant.

            2.32 "SPONSOR" means Executive Benefit Services, Inc.

            2.33 "SPOUSE" or "SURVIVING SPOUSE" means, except as otherwise
provided in the Plan, the legally married spouse or surviving spouse of a
Participant.

            2.34 "TRUST" means the trust fund established pursuant to Section
13.2, if designated by the Employer in the Adoption Agreement.

            2.35 "TRUSTEE" means the trustee, if any, named in the agreement
establishing the Trust and such successor or additional trustee as may be named
pursuant to the terms of the agreement establishing the Trust.

            2.36 "YEARS OF SERVICE" means each Plan Year of Service completed by
the Participant. For vesting purposes, Years of Service shall be calculated from
the date designated in the Adoption Agreement.

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            SECTION 3. PARTICIPATION:

            The Committee in its discretion shall designate each Employee or
Independent Contractor who is eligible to participate in the Plan. An Employee
or Independent Contractor designated by the Committee as a Participant who has
not otherwise entered the Plan shall enter the Plan and become a Participant as
of the date determined by the Committee. A Participant who separates from
Service with the Employer and who later returns to Service will not be an Active
Participant under the Plan except upon satisfaction of such terms and conditions
as the Committee shall establish upon the Participant's return to Service,
whether or not the Participant shall have an Accrued Benefit remaining under the
Plan on the date of his return to Service.

            SECTION 4. CREDITS TO DEFERRED COMPENSATION ACCOUNT:

            4.1 SALARY DEFERRAL CREDITS. To the extent provided in the Adoption
Agreement, each Active Participant may elect, by entering into a Salary Deferral
Agreement with the Employer, to defer his Compensation from the Employer by a
dollar amount or percentage specified in the Salary Deferral Agreement. The
amount of the Participant's Salary Deferral Credit shall be credited by the
Employer to the Deferred Compensation Account maintained for the Participant
pursuant to Section 9. The following special provisions shall apply with respect
to the Salary Deferral Credits of a Participant:

            4.1.1 The Employer shall credit to the Participant's Deferred
      Compensation Account on each Crediting Date an amount equal to the total
      Salary Deferral Credit for the period ending on such Crediting Date.

            4.1.2 An election pursuant to Section 4.1 shall be made by the
      Participant by executing and delivering a Salary Deferral Agreement to the
      Committee. The Salary Deferral Agreement shall become effective with
      respect to such Participant as of the first full payroll period commencing
      on or immediately following the first day of the Plan Year which occurs
      after the date such Salary Deferral Agreement is received by the
      Committee; provided, that a Participant who first becomes a Participant in
      the Plan during a Plan Year may enter into a Salary Deferral Agreement to
      be effective as of the first payroll period next following the date he
      enters the Plan. A Participant's election shall continue

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      in effect, unless earlier modified by the Participant, until the Service
      of the Participant is terminated, or, if earlier, until the Participant
      ceases to be an Active Participant under the Plan.

            4.1.3 A Participant may unilaterally modify a Salary Deferral
      Agreement (either to increase or decrease the portion of his future
      Compensation which is subject to salary deferral within the percentage
      limits set forth in Section 4.1 of the Adoption Agreement) by providing a
      written modification of the Salary Deferral Agreement to the Employer. The
      modification shall become effective as of the first full payroll period
      commencing on or immediately following the first day of the Plan Year
      which occurs after the date such written modification is received by the
      Committee. The Participant may terminate the Salary Deferral Agreement
      effective as of the date designated in the Adoption Agreement.

            4.1.4 The Committee may from time to time establish policies or
      rules governing the manner in which Salary Deferral Credits may be made.

            4.2 EMPLOYER CREDITS. If designated by the Employer in the Adoption
Agreement, the Employer shall cause the Committee to credit to the Deferred
Compensation Account of each Active Participant an Employer Credit as determined
in accordance with the Adoption Agreement.

            4.3 DEFERRED COMPENSATION ACCOUNT. Unless otherwise designated by
the Participant in the Salary Deferral Agreement, all Salary Deferral Credits
made pursuant to Section 4.1 shall be credited to the Retirement Account of the
Participant. All Employer Credits made pursuant to Section 4.2 shall be made to
the Retirement Account of the Participant. The Retirement Account is a part of
the Deferred Compensation Account of a Participant and shall be distributed upon
a Qualifying Distribution Event.

            SECTION 5. QUALIFYING DISTRIBUTION EVENTS:

            5.1 DEATH OF A PARTICIPANT. If a Participant dies while in Service,
the Employer shall pay a benefit to the Participant's Beneficiary in the amount
designated in the Adoption Agreement. Payment of such benefit shall be made by
the Employer pursuant to Section 7. If a Participant dies following his
Retirement or termination of Service for any

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reason, including Disability, and before all payments to him under the Plan have
been made, the balance of the Participant's vested Accrued Benefit shall be paid
by the Employer to the Participant's Beneficiary pursuant to Section 7, and such
balance shall be determined as of the commencement date of the payments.

            5.2 DISABILITY OF A PARTICIPANT. If a Participant suffers a
Disability while in Service prior to his Normal Retirement Date, he shall
terminate Service with the Employer as of the date of the establishment of his
Disability, whereupon he shall commence receiving payment of his vested Accrued
Benefit, determined as of the commencement date of the payments. Such benefit
shall be paid by the Employer as provided in Section 7.

            5.3 TERMINATION OF SERVICE. If the Service of a Participant with the
Employer shall be terminated for any reason other than Retirement, Disability or
death, his vested Accrued Benefit shall be paid to him by the Employer as
provided in Section 7, and such Accrued Benefit shall be determined as of the
commencement date of the payments. If a Participant's Accrued Benefit is not
fully vested at his termination of employment, he shall forfeit that portion of
his Accrued Benefit that is not fully vested. If he subsequently returns to
Service with the Employer, he shall be treated as a new Participant for purposes
of determining the vested portion of his Accrued Benefit.

            5.4 RETIREMENT. A Participant who is in Service on or after his
Normal Retirement Date shall be eligible to Retire and commence receiving
payment of his Accrued Benefit. Payment of such benefit shall be made by the
Employer pursuant to Section 7.

            SECTION 6. DISTRIBUTIONS WHILE IN SERVICE:

            6.1 IN-SERVICE WITHDRAWALS. If the Employer designates in the
Adoption Agreement that in-service withdrawals are permitted under the Plan, a
Participant may elect in the Salary Deferral Agreement to withdraw a designated
amount from his Deferred

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Compensation Account at the specified time or times designated by the
Participant in the Salary Deferral Agreement, and the Participant's In-Service
Account shall be credited with the amount designated for in-service withdrawals.
The following special provisions shall apply with respect to the In-Service
Account:

            6.1.1 Notwithstanding any provision in this Section 6 to the
      contrary, if Participant incurs a Qualifying Distribution Event prior to
      the date on which the entire balance of his In-Service Account has been
      distributed to him, then the balance in the In-Service Account on the date
      of the Qualifying Distribution Event shall be distributed to him in the
      same manner and at the same time as his Deferred Compensation Account is
      distributed to him under Section 7 and in accordance with the rules and
      elections in effect under Section 7.

            6.1.2 If permitted by the Employer in the Adoption Agreement, a
      Participant may defer the date of any withdrawal from the In-Service
      Account by giving notice of the new withdrawal date to the Committee
      within the time limits specified in the Adoption Agreement.

            6.2 FINANCIAL HARDSHIP WITHDRAWALS. If the Employer designates in
the Adoption Agreement that financial hardship withdrawals are permitted under
the Plan, a distribution of the Deferred Compensation Account may be made to a
Participant on account of financial hardship, subject to the following
provisions:

            6.2.1 A Participant may, at any time prior to his Retirement or
      termination of Service for any reason, including Disability, make
      application to the Committee to receive a distribution in a lump sum of
      all or a portion of the vested Accrued Benefit credited to his Deferred
      Compensation Account (determined as of the date the distribution, if any,
      is made under this Section 6.2) because of an unforeseeable emergency that
      results in severe financial hardship to the Participant. A distribution
      because of an unforeseeable emergency shall not exceed the amount required
      to meet the immediate financial need created by the unforeseeable
      emergency and not otherwise reasonably available from other resources of
      the Participant. Examples of an unforeseeable emergency shall include but
      shall not be limited to those financial needs arising on account of a
      sudden or unexpected illness or accident of the Participant or of a
      dependent of the Participant, 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.

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            6.2.2 The Participant's request for a distribution on account of
      financial hardship must be made in writing to the Committee. The request
      must specify the nature of the financial hardship, the total amount
      requested to be distributed from the Deferred Compensation Account, and
      the total amount of the actual expense incurred or to be incurred on
      account of financial hardship.

            6.2.3 If a distribution under this Section 6.2 is approved by the
      Committee, such distribution will be made as soon as practicable following
      the date it is approved. The processing of the request shall be completed
      as soon as practicable from the date on which the Committee receives the
      properly completed written request for a distribution on account of a
      financial hardship. If a Participant's termination of Service occurs after
      a request is approved in accordance with this Section 6.2.3, but prior to
      distribution of the full amount approved, the approval of the request
      shall be automatically null and void and the benefits which the
      Participant is entitled to receive under the Plan shall be distributed in
      accordance with the applicable distribution provisions of the Plan. Only
      one financial hardship distribution shall be made within any Plan Year.

            6.2.4 The Committee may from time to time adopt additional policies
      or rules governing the manner in which such distributions may be made so
      that the Plan may be conveniently administered.

            6.3 "HAIRCUT" WITHDRAWALS. If the Employer designates in the
Adoption Agreement that "haircut" withdrawals are permitted under the Plan, a
Participant in Service may at his option make one or more withdrawals from his
Deferred Compensation Account by written request to the Committee; provided,
however, that a Participant who requests a withdrawal under this Section 6.3
shall incur a penalty (the "haircut") equal to a percentage (not less than 10%),
as designated by the Employer in the Adoption Agreement, of the amount
withdrawn, and this penalty shall be forfeited from the Deferred Compensation
Account of the Participant notwithstanding the provisions of Section 8.

            6.4 EDUCATION WITHDRAWALS. If the Employer designates in the
Adoption Agreement that education withdrawals are permitted under the Plan, a
Participant may elect in the Salary Deferral Agreement for a designated
percentage or dollar amount of the Salary Deferral Credits to be credited to the
Education Account of the Education Recipient designated by the Participant. If
the Participant designates more than one Education Recipient, the

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Education Account shall be divided into Education Subaccounts for each Education
Recipient, and the Participant may designate in the Salary Deferral Agreement
the percentage or dollar amount of each Salary Deferral Credit to be credited to
each Education Subaccount. In the absence of a clear designation, all credits
made to the Education Account shall be equally allocated to each Education
Subaccount. As soon as practicable after the date designated by the Participant
in the Salary Deferral Agreement, the Employer shall pay to the Participant the
balance in the Education Subaccount with respect to such Education Recipient in
the manner designated by the Participant in the Salary Deferral Agreement and
permitted by the Employer in the Adoption Agreement. The following special
provisions shall apply with respect to the Education Account:

            6.4.1 Notwithstanding any provision in this Section 6 to the
      contrary, if a Participant incurs a Qualifying Distribution Event prior to
      the date on which the entire balance of the Education Account has been
      distributed to him, then the balance in the Education Account on the date
      of the Qualifying Distribution Event shall be distributed to him in the
      same manner and at the same time as his Deferred Compensation Account is
      distributed to him under Section 7 and in accordance with the rules and
      elections in effect under Section 7.

            6.4.2 If permitted by the Employer in the Adoption Agreement, a
      Participant may defer the date of any withdrawal from the Education
      Account by giving notice of the new withdrawal date to the Committee
      within the time limits specified in the Adoption Agreement.

            SECTION 7. QUALIFYING DISTRIBUTION EVENTS PAYMENT OPTIONS:

            7.1 PAYMENT OPTIONS. The Employer shall designate in the Adoption
Agreement the payment options available upon a Qualifying Distribution Event.
Upon a Participant's entry into the Plan, the Participant shall elect among
these designated payment options the method under which his vested Accrued
Benefit or, in the event of his death, any benefit payable as a result, will be
distributed; provided, however, that if permitted by the Employer in the
Adoption Agreement, a Participant may change the method of payment by

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giving notice of the new payment method to the Committee within the time limits
specified in the Adoption Agreement. In the event the Participant fails to make
a valid designation of the payment method, the distribution will be made in a
single lump sum payment. Notwithstanding any election made by the Participant,
the vested Accrued Benefit of the Participant will be distributed in a single
lump sum payment if the amount of such benefit does not exceed the dollar limit
specified by the Employer in the Adoption Agreement, if applicable.

            7.2 PREPAYMENT. Notwithstanding any other provisions of this Plan,
if a Participant or any other person (a "recipient") is entitled to receive
payments under the Plan, the Committee in its sole discretion may direct the
Employer to prepay all or any part of the payments remaining to be made to or on
behalf of the recipient, or to shorten the payment period. The amount of such
prepayment shall be in full satisfaction of the Employer's obligations hereunder
to the recipient and to all persons claiming under or through the recipient with
respect to the payments being prepaid. In the event of a partial prepayment, the
Committee shall designate which installments are being prepaid and, if
applicable, the accounts of the Participant from which such prepayments shall be
debited. The Committee's determinations under this Section 7.2 shall be final
and conclusive upon all parties claiming benefits under this Plan.

            SECTION 8. VESTING:

            A Participant shall be fully vested in the portion of his Deferred
Compensation Account attributable to Salary Deferral Credits, and all income,
gains and losses attributable thereto. A Participant shall become fully vested
in the portion of his Deferred Compensation Account attributable to Employer
Credits, and income, gains and losses attributable thereto, in accordance with
the vesting schedule and provisions designated by the Employer in the Adoption
Agreement.

                                       13
<PAGE>

            SECTION 9. ACCOUNTS; DEEMED INVESTMENT; ADJUSTMENTS TO ACCOUNT:

            9.1 ACCOUNTS. The Committee shall establish a book reserve account,
entitled the "Deferred Compensation Account," on behalf of each Participant. The
Committee shall also establish a Retirement Account, In-Service Account and
Education Account as a part of the Deferred Compensation Account of each
Participant, if applicable. The amount credited to the Deferred Compensation
Account shall be adjusted pursuant to the provisions of Section 9.3.

            9.2 DEEMED INVESTMENTS. The Deferred Compensation Account of a
Participant shall be credited with an investment return determined as if the
account were invested in one or more investment funds made available by the
Committee. The Participant shall elect the investment funds in which his
Deferred Compensation Account shall be deemed to be invested. Such election
shall be made in the manner prescribed by the Committee and shall take effect
upon the entry of the Participant into the Plan. The investment election of the
Participant shall remain in effect until a new election is made by the
Participant. In the event the Participant fails for any reason to make an
effective election of the investment return to be credited to his account, the
investment return shall be determined by the Committee.

            9.3 ADJUSTMENTS TO DEFERRED COMPENSATION ACCOUNT. With respect to
each Participant who has a Deferred Compensation Account under the Plan, the
amount credited to such account shall be adjusted by the following debits and
credits, at the times and in the order stated:

            9.3.1 The Deferred Compensation Account shall be debited each
      business day with the total amount of any payments made from such account
      since the last preceding business day to him or for his benefit.

            9.3.2 The Deferred Compensation Account shall be credited on each
      Crediting Date with the total amount of any Salary Deferral Credits and
      Employer Credits to such account since the last preceding Crediting Date.

                                       14
<PAGE>

            9.3.3 The Deferred Compensation Account shall be credited or debited
      on each day securities are traded on a national stock exchange with the
      amount of deemed investment gain or loss resulting from the performance of
      the investment funds elected by the Participant in accordance with Section
      9.2. The amount of such deemed investment gain or loss shall be determined
      by the Committee and such determination shall be final and conclusive upon
      all concerned.

            SECTION 10. BENEFIT EXCHANGE:

            If elected by the Employer in the Adoption Agreement, the Employer
and the Participant may enter into an agreement under which the Participant's
vested Accrued Benefit may be exchanged for another nonqualified benefit in
accordance with rules established by the Committee.

            SECTION 11. TRANSFER TO QUALIFIED PLAN:

            If elected by the Employer in the Adoption Agreement and directed by
the Participant in the Salary Deferral Agreement, the Employer shall transfer
amounts from the Deferred Compensation Account of the Participant to the account
of the Participant under a tax-qualified retirement plan maintained by the
Employer and identified in the Adoption Agreement (the "Qualified Plan") in
accordance with the following procedures:

            11.1 MAXIMIZE QUALIFIED PLAN DEFERRALS. As soon as administratively
feasible after the end of each Plan Year, the Employer shall determine the
amount of Salary Deferral Credits made to the Deferred Compensation Account of
the Participant for the Plan Year (excluding the amount of deemed investment
gain or loss with respect thereto) which is eligible for transfer to the
Qualified Plan. Such amount shall be determined so as to permit the maximum
allocation to the account of the Participant under the Qualified Plan for the
Plan Year without exceeding the limitations applicable to the Qualified Plan
(including by way of illustration and not limitation, the limitations under
Sections 402(g) and 401(k)(3) of the Code, and any successors thereto).

                                       15
<PAGE>

            11.2 MAXIMIZE QUALIFIED PLAN MATCH. As soon as administratively
feasible after the end of each Plan Year, the Employer shall determine the
amount of any Employer Credits made as a matching amount to the Deferred
Compensation Account of the Participant for the Plan Year (excluding the amount
of deemed investment gain or loss with respect thereto) which is eligible for
transfer to the Qualified Plan. Such amount shall be determined so as to permit
the maximum allocation to the account of the Participant under the Qualified
Plan for the Plan Year without exceeding the limitations applicable to the
Qualified Plan (including by way of illustration and not limitation, the
limitation under Section 401(m)(2) of the Code, and any successors thereto).

            11.3 TRANSFER DEFERRAL TO QUALIFIED PLAN. No later than two and
one-half months following the end of the Plan Year, the Employer shall debit the
amount determined under Section 11.1 from the Deferred Compensation Account of
the Participant. If the Participant has directed in the Salary Deferral
Agreement that such transfer be made, the Employer shall allocate such amount to
the account of the Participant under the Qualified Plan. If the Participant has
not directed such transfer, the Employer shall distribute such amount from the
Deferred Compensation Account to the Participant.

            11.4 CREDIT MATCH TO QUALIFIED PLAN. No later than two and one-half
months following the end of the Plan Year, the Employer shall debit the amount
determined under Section 11.2 from the Deferred Compensation Account of the
Participant. If the transfer described in Section 11.3 is made, the Employer
shall allocate the amount determined under Section 11.2 to the account of the
Participant under the Qualified Plan. If such transfer is not made and the
Participant receives a distribution of the amount determined under Section 11.1,
the Participant shall forfeit the amount determined under Section 11.2.

                                       16
<PAGE>

            11.5 COMPLIANCE WITH QUALIFIED PLAN. In its sole discretion, the
Employer may make multiple transfers or distributions under this Section 11
during the Plan Year; provided, however, that no transfers shall be made under
this Section 11 if precluded by the terms of the Qualified Plan.

            SECTION 12. ADMINISTRATION BY COMMITTEE:

            12.1 MEMBERSHIP OF COMMITTEE. The Committee shall consist of at
least three individuals who shall be appointed by the Board to serve at the
pleasure of the Board. Any member of the Committee may resign, and his
successor, if any, shall be appointed by the Board. The Committee shall be
responsible for the general administration and interpretation of the Plan and
for carrying out its provisions, except to the extent all or any of such
obligations are specifically imposed on the Board.

            12.2 COMMITTEE OFFICERS; SUBCOMMITTEE. The members of the Committee
may elect Chairman and may elect an acting Chairman. They may also elect a
Secretary and may elect an acting Secretary, either of whom may be but need not
be a member of the Committee. The Committee may appoint from its membership such
subcommittees with such powers as the Committee shall determine, and may
authorize one or more of its members or any agent to execute or deliver any
instruments or to make any payment on behalf of the Committee.

            12.3 COMMITTEE MEETINGS. The Committee shall hold such meetings upon
such notice, at such places and at such intervals as it may from time to time
determine. Notice of meetings shall not be required if notice is waived in
writing by all the members of the Committee at the time in office, or if all
such members are present at the meeting.

                                       17

<PAGE>

            12.4 TRANSACTION OF BUSINESS. A majority of the members of the
Committee at the time in office shall constitute a quorum for the transaction of
business. All resolutions or other actions taken by the Committee at any meeting
shall be by vote of a majority of those present at any such meeting and entitled
to vote. Resolutions may be adopted or other action taken without a meeting upon
written consent thereto signed by all of the members of the Committee.

            12.5 COMMITTEE RECORDS. The Committee shall maintain full and
complete records of its deliberations and decisions. The minutes of its
proceedings shall be conclusive proof of the facts of the operation of the Plan.

            12.6 ESTABLISHMENT OF RULES. Subject to the limitations of the Plan,
the Committee may from time to time establish rules or by-laws for the
administration of the Plan and the transaction of its business.

            12.7 CONFLICTS OF INTEREST. No individual member of the Committee
shall have any right to vote or decide upon any matter relating solely to
himself or to any of his rights or benefits under the Plan (except that such
member may sign unanimous written consent to resolutions adopted or other action
taken without a meeting), except relating to the terms of his Salary Deferral
Agreement.

            12.8 CORRECTION OF ERRORS. The Committee may correct errors and, so
far as practicable, may adjust any benefit or credit or payment accordingly. The
Committee may in its discretion waive any notice requirements in the Plan;
provided, that a waiver of notice in one or more cases shall not be deemed to
constitute a waiver of notice in any other case. With respect to any power or
authority which the Committee has discretion to exercise under the Plan, such
discretion shall be exercised in a nondiscriminatory manner.

                                       18

<PAGE>

            12.9 AUTHORITY TO INTERPRET PLAN. Subject to the claims procedure
set forth in Section 18 the Plan Administrator and the Committee shall have the
duty and discretionary authority to interpret and construe the provisions of the
Plan and to decide any dispute which may arise regarding the rights of
Participants hereunder, including the discretionary authority to construe the
Plan and to make determinations as to eligibility and benefits under the Plan.
Determinations by the Plan Administrator and the Committee shall apply uniformly
to all persons similarly situated and shall be binding and conclusive upon all
interested persons.

            12.10 THIRD PARTY ADVISORS. The Committee may engage an attorney,
accountant, actuary or any other technical advisor on matters regarding the
operation of the Plan and to perform such other duties as shall be required in
connection therewith, and may employ such clerical and related personnel as the
Committee shall deem requisite or desirable in carrying out the provisions of
the Plan. The Committee shall from time to time, but no less frequently than
annually, review the financial condition of the Plan and determine the financial
and liquidity needs of the Plan. The Committee shall communicate such needs to
the Employer so that its policies may be appropriately coordinated to meet such
needs.

            12.11 COMPENSATION OF MEMBERS. No fee or compensation shall be paid
to any member of the Committee for his Service as such.

            12.12 EXPENSE REIMBURSEMENT. The Committee shall be entitled to
reimbursement by the Employer for its reasonable expenses properly and actually
incurred in the performance of its duties in the administration of the Plan.

            12.13 INDEMNIFICATION. No member of the Committee shall be
personally liable by reason of any contract or other instrument executed by him
or on his behalf as a member of the Committee nor for any mistake of judgment
made in good faith, and the Employer shall

                                       19

<PAGE>

indemnify and hold harmless, directly from its own assets (including the
proceeds of any insurance policy the premiums for which are paid from the
Employer's own assets), each member of the Committee and each other officer,
employee, or director of the Employer to whom any duty or power relating to the
administration or interpretation of the Plan may be delegated or allocated,
against any unreimbursed or uninsured cost or expense (including any sum paid in
settlement of a claim with the prior written approval of the Board) arising out
of any act or omission to act in connection with the Plan unless arising out of
such person's own fraud, bad faith, willful misconduct or gross negligence.

            SECTION 13. CONTRACTUAL LIABILITY; TRUST:

            13.1 CONTRACTUAL LIABILITY. The obligation of the Employer to make
payments hereunder shall constitute a contractual liability of the Employer to
the Participant. Such payments shall be made from the general funds of the
Employer, and the Employer shall not be required to establish or maintain any
special or separate fund, or otherwise to segregate assets to assure that such
payments shall be made, and the Participant shall not have any interest in any
particular assets of the Employer by reason of its obligations hereunder. To the
extent that any person acquires a right to receive payment from the Employer,
such right shall be no greater than the right of an unsecured creditor of the
Employer.

            13.2 TRUST. If so designated in Section 2.34 of the Adoption
Agreement, the Employer may establish a Trust with the Trustee, pursuant to such
terms and conditions as are set forth in the Trust Agreement. The Trust, if and
when established, is intended to be treated as a grantor trust for purposes of
the Code. The establishment of the Trust is not intended to cause Participants
to realize current income on amounts contributed thereto, and the Trust shall be
so interpreted and administered.

                                       20

<PAGE>

            SECTION 14. ALLOCATION OF RESPONSIBILITIES:

            The persons responsible for the Plan and the duties and
responsibilities allocated to each are as follows:

            14.1 BOARD.

                  (i)   To amend the Plan;

                  (ii)  To appoint and remove members of the Committee; and

                  (iii) To terminate the Plan.

            14.2 COMMITTEE.

                  (i) To designate Participants;

                  (ii) To interpret the provisions of the Plan and to determine
            the rights of the Participants under the Plan, except to the extent
            otherwise provided in Section 19 relating to claims procedure;

                  (iii) To administer the Plan in accordance with its terms,
            except to the extent powers to administer the Plan are specifically
            delegated to another person or persons as provided in the Plan;

                  (iv) To account for the Accrued Benefits of Participants; and

                  (v) To direct the Employer in the payment of benefits.

            14.3 PLAN ADMINISTRATOR.

                  (i) To file such reports as may be required with the United
            States Department of Labor, the Internal Revenue Service and any
            other government agency to which reports may be required to be
            submitted from time to time; and

                  (ii) To administer the claims procedure to the extent provided
            in Section 19.

            SECTION 15. BENEFITS NOT ASSIGNABLE; FACILITY OF PAYMENTS:

            15.1 BENEFITS NOT ASSIGNABLE. No portion of any benefit credited or
paid under the Plan with respect to any Participant shall be subject in any
manner to anticipation, alienation, sale, transfer, assignment, pledge,
encumbrance or charge, and any attempt so to anticipate, alienate, sell,
transfer, assign, pledge, encumber or charge the same shall be void, nor shall
any

                                       21

<PAGE>

portion of such benefit be in any manner payable to any assignee, receiver or
any one trustee, or be liable for his debts, contracts, liabilities, engagements
or torts. Notwithstanding the foregoing, in the event that all or any portion of
the benefit of a Participant is transferred to the former spouse of the
Participant incident to a divorce, the Committee shall maintain such amount for
the benefit of the former spouse until distributed in the manner required by an
order of any court having jurisdiction over the divorce, and the former spouse
shall be entitled to the same rights as the Participant with respect to such
benefit.

            15.2 PAYMENTS TO MINORS AND OTHERS. If any individual entitled to
receive a payment under the Plan shall be physically, mentally or legally
incapable of receiving or acknowledging receipt of such payment, the Committee,
upon the receipt of satisfactory evidence of his incapacity and satisfactory
evidence that another person or institution is maintaining him and that no
guardian or committee has been appointed for him, may cause any payment
otherwise payable to him to be made to such person or institution so maintaining
him. Payment to such person or institution shall be in full satisfaction of all
claims by or through the Participant to the extent of the amount thereof.

            SECTION 16. BENEFICIARY:

            The Participant's beneficiary shall be the person or persons
designated by the Participant on the beneficiary designation form provided by
and filed with the Committee or its designee. If the Participant does not
designate a beneficiary, the beneficiary shall be his Surviving Spouse. If the
Participant does not designate a beneficiary and has no Surviving Spouse, the
beneficiary shall be the Participant's estate. The designation of a beneficiary
may be changed or revoked only by filing a new beneficiary designation form with
the Committee or its designee. If a beneficiary (the "primary beneficiary") is
receiving or is entitled to receive payments under the Plan and dies before
receiving all of the payments due him, the balance to

                                       22

<PAGE>

which he is entitled shall be paid to the contingent beneficiary, if any, named
in the Participant's current beneficiary designation form. If there is no
contingent beneficiary, the balance shall be paid to the estate of the primary
beneficiary. Any beneficiary may disclaim all or any part of any benefit to
which such beneficiary shall be entitled hereunder by filing a written
disclaimer with the Committee before payment of such benefit is to be made. Such
a disclaimer shall be made in a form satisfactory to the Committee and shall be
irrevocable when filed. Any benefit disclaimed shall be payable from the Plan in
the same manner as if the beneficiary who filed the disclaimer had died on the
date of such filing.

            SECTION 17. AMENDMENT AND TERMINATION OF PLAN:

            The Board may amend any provision of the Plan or terminate the Plan
at any time; provided, that in no event shall such amendment or termination
reduce any Participant's Accrued Benefit as of the date of such amendment or
termination, nor shall any such amendment affect the terms of the Plan relating
to the payment of such Accrued Benefit.

            Notwithstanding the foregoing, the Plan shall be terminated upon the
occurrence of one or more of the events designated in the Adoption Agreement.
Upon the occurrence of a termination event, the Accrued Benefit of each
Participant may become fully vested and payable to the Participant in a lump sum
if designated by the Employer in the Adoption Agreement.

            SECTION 18. COMMUNICATION TO PARTICIPANTS:

            The Employer shall make a copy of the Plan available for inspection
by Participants and their beneficiaries during reasonable hours at the principal
office of the Employer.

                                       23

<PAGE>

            SECTION 19. CLAIMS PROCEDURE:

            The following claims procedure shall apply with respect to the Plan:

            19.1 FILING OF A CLAIM FOR BENEFITS. If a Participant or beneficiary
(the "claimant") believes that he is entitled to benefits under the Plan which
are not being paid to him or which are not being accrued for his benefit, he
shall file a written claim therefor with the Plan Administrator. In the event
the Plan Administrator shall be the claimant, all actions which are required to
be taken by the Plan Administrator pursuant to this Section 19 shall be taken
instead by another member of the Committee designated by the Committee.

            19.2 NOTIFICATION TO CLAIMANT OF DECISION. Within 90 days after
receipt of a claim by the Plan Administrator (or within 180 days if special
circumstances require an extension of time), the Plan Administrator shall notify
the claimant of his decision with regard to the claim. In the event of such
special circumstances requiring an extension of time, there shall be furnished
to the claimant prior to expiration of the initial 90-day period written notice
of the extension, which notice shall set forth the special circumstances and the
date by which the decision shall be furnished. If such claim shall be wholly or
partially denied, notice thereof shall be in writing and worded in a manner
calculated to be understood by the claimant, and shall set forth: (i) the
specific reason or reasons for the denial; (ii) specific reference to pertinent
provisions of the Plan on which the denial is based; (iii) a description of any
additional material or information necessary for the claimant to perfect the
claim and an explanation of why such material or information is necessary; and
(iv) an explanation of the procedure for review of the denial and the time
limits applicable to such procedures, including a statement of the claimant's
right to bring a civil action under ERISA following an adverse benefit
determination on review.

                                       24

<PAGE>

            19.3 PROCEDURE FOR REVIEW. Within 60 days following receipt by the
claimant of notice denying his claim, in whole or in part, or, if such notice
shall not be given, within 60 days following the latest date on which such
notice could have been timely given, the claimant shall appeal denial of the
claim by filing a written application for review with the Committee. Following
such request for review, the Committee shall fully and fairly review the
decision denying the claim. Prior to the decision of the Committee, the claimant
shall be given an opportunity to review pertinent documents and to submit issues
and comments in writing.

            19.4 DECISION ON REVIEW. The decision on review of a claim denied in
whole or in part by the Plan Administrator shall be made in the following
manner:

            19.4.1 Within 60 days following receipt by the Committee of the
      request for review (or within 120 days if special circumstances require an
      extension of time), the Committee shall notify the claimant in writing of
      its decision with regard to the claim. In the event of such special
      circumstances requiring an extension of time, written notice of the
      extension shall be furnished to the claimant prior to the commencement of
      the extension. If the decision on review is not furnished in a timely
      manner, the claim shall be deemed denied as of the close of the initial
      60-day period (or the close of the extension period, if applicable).

            19.4.2 With respect to a claim that is denied in whole or in part,
      the decision on review shall set forth specific reasons for the decision,
      shall be written in a manner calculated to be understood by the claimant,
      and shall cite specific references to the pertinent Plan provisions on
      which the decision is based.

            19.4.3 The decision of the Committee shall be final and conclusive.

            19.5 ACTION BY AUTHORIZED REPRESENTATIVE OF CLAIMANT. All actions
set forth in this Section 19 to be taken by the claimant may likewise be taken
by a representative of the claimant duly authorized by him to act in his behalf
on such matters. The Plan Administrator and the Committee may require such
evidence as either may reasonably deem necessary or advisable of the authority
to act of any such representative.

                                       25

<PAGE>

            SECTION 20. MISCELLANEOUS PROVISIONS:

            20.1 SET OFF. Notwithstanding any other provision of this Plan, the
Employer may reduce the amount of any payment otherwise payable to or on behalf
of a Participant hereunder by the amount of any loan, cash advance, extension of
credit or other obligation of the Participant to the Employer that is then due
and payable, and the Participant shall be deemed to have consented to such
reduction.

            20.2 NOTICES. Each Participant who is not in Service and each
Beneficiary shall be responsible for furnishing the Committee or its designee
with his current address for the mailing of notices and benefit payments. Any
notice required or permitted to be given to such Participant or Beneficiary
shall be deemed given if directed to such address and mailed by regular United
States mail, first class, postage prepaid. If any check mailed to such address
is returned as undeliverable to the addressee, mailing of checks will be
suspended until the Participant or beneficiary furnishes the proper address.
This provision shall not be construed as requiring the mailing of any notice or
notification otherwise permitted to be given by posting or by other publication.

            20.3 LOST DISTRIBUTEES. A benefit shall be deemed forfeited if the
Plan Administrator is unable to locate the Participant or Beneficiary to whom
payment is due on or before the fifth anniversary of the date payment is to be
made or commence; provided, that the deemed investment rate of return pursuant
to Section 9.2 shall cease to be applied to the Participant's account following
the first anniversary of such date; provided further, however, that such benefit
shall be reinstated if a valid claim is made by or on behalf of the Participant
or Beneficiary for all or part of the forfeited benefit.

                                       26

<PAGE>

            20.4 RELIANCE ON DATA. The Employer, the Committee and the Plan
Administrator shall have the right to rely on any data provided by the
Participant or by any Beneficiary. Representations of such data shall be binding
upon any party seeking to claim a benefit through a Participant, and the
Employer, the Committee and the Plan Administrator shall have no obligation to
inquire into the accuracy of any representation made at any time by a
Participant or beneficiary.

            20.5 RECEIPT AND RELEASE FOR PAYMENTS. Subject to the provisions of
Section 20.1, any payment made from the Plan to or with respect to any
Participant or Beneficiary, or pursuant to a disclaimer by a Beneficiary, shall,
to the extent thereof, be in full satisfaction of all claims hereunder against
the Plan and the Employer with respect to the Plan. The recipient of any payment
from the Plan may be required by the Committee, as a condition precedent to such
payment, to execute a receipt and release with respect thereto in such form as
shall be acceptable to the Committee.

            20.6 HEADINGS. The headings and subheadings of the Plan have been
inserted for convenience of reference and are to be ignored in any construction
of the provisions hereof.

            20.7 CONTINUATION OF EMPLOYMENT. The establishment of the Plan shall
not be construed as conferring any legal or other rights upon any Employee or
any persons for continuation of employment, nor shall it interfere with the
right of the Employer to discharge any Employee or to deal with him without
regard to the effect thereof under the Plan.

                                       27

<PAGE>

            20.8 MERGER OR CONSOLIDATION; ASSUMPTION OF PLAN. No employer-party
to the Plan shall consolidate or merge into or with another corporation or
entity, or transfer all or substantially all of its assets to another
corporation, partnership, trust or other entity (a "Successor Entity") unless
such Successor Entity shall assume the rights, obligations and liabilities of
the employer-party under the Plan and upon such assumption, the Successor Entity
shall become obligated to perform the terms and conditions of the Plan. Nothing
herein shall prohibit the assumption of the obligations and liabilities of the
Employer under the Plan by any Successor Entity.

            20.9 CONSTRUCTION. The Employer shall designate in the Adoption
Agreement the state according to whose laws the provisions of the Plan shall be
construed and enforced, except to the extent that such laws are superseded by
ERISA.

                                       28

<PAGE>

[PRINCIPAL FINANCIAL GROUP LOGO]

       PRINCIPAL LIFE INSURANCE COMPANY
       Raleigh, NC 27612
       1-800-999-4031                               THE EXECUTIVE
       A member of the Principal Financial Group(R) NONQUALIFIED "EXCESS"
                                                    PLAN(SM)

                               ADOPTION AGREEMENT

                  POPULAR FINANCIAL HOLDINGS, INC DEFERRAL PLAN

            THIS AGREEMENT is made as of the 1st day of October, 2005, by
Popular Financial Holdings, Inc. (the "Employer"), having its principal office
at 301 LIPPINCOTT DRIVE, MARLTON, NJ 08053 and EXECUTIVE BENEFIT SERVICES, INC.
(the "Sponsor"), having its principal office at 4140 ParkLake Avenue, Suite 500,
Raleigh, NC 27612.

                                   WITNESSETH:

            WHEREAS, the Sponsor has established The Executive Nonqualified
Excess Plan(TM) (the "Plan"); and

            WHEREAS, Equity One, Inc., a wholly owned subsidiary of the
Employer, has established an unfunded nonqualified deferred compensation plan
known as the Equity One Deferral Plan through an adoption of the Plan;

            WHEREAS, by means of resolution adopted on August 24, 2005, the
Board of Directors of Equity One, Inc. relinquished sponsorship of the Equity
One Deferral Plan in favor of the Employer;

            WHEREAS, by means of a resolution adopted on August 26, 2005, the
Board of Directors of the Employer, assumed sponsorship of the Equity One
Deferral Plan and authorized its officer to take such actions and execute such
documents necessary to amend the Equity One Deferral Plan to assume sponsorship
of the Equity One Deferral Plan, constitute a grantor trust to accumulate funds
for payment of benefits due under the Equity One Deferral Plan and include
shares of common stock of Popular, Inc. as an investment option for deemed
investments under the Equity One Deferral Plan.

            WHEREAS, the Employer has been advised by the Sponsor to obtain
legal and tax advice from its professional advisors before amending the Plan,
and that the Sponsor disclaims all liability for the legal and tax consequences
which result from the elections made by the Employer in this Adoption Agreement;

            NOW, THEREFORE, the Employer hereby amends the Plan in accordance
with the terms and conditions set forth in this Adoption Agreement:

                                      -2-

<PAGE>

                                    ARTICLE I

            Terms used in this Adoption Agreement shall have the same meaning as
in the Plan, unless some other meaning is expressly herein set forth. The
Employer hereby represents and warrants that the Plan has been adopted and
amended by the Employer upon proper authorization and the Employer hereby elects
to amend the Plan and continue it for the benefit of its Participants as
referred to in the Plan. By the execution of this Adoption Agreement, the
Employer hereby agrees to be bound by the terms of the Plan.

            This Adoption Agreement may only be used in connection with The
Executive Nonqualified Excess Plan(TM). The Sponsor will inform the Employer of
any amendments to the Plan or of the discontinuance or abandonment of the Plan.
For questions concerning the Plan, the Employer may call the Sponsor at (919)
833-1042.

                                   ARTICLE II

      The Employer hereby makes the following designations or elections for the
purpose of the Excess Plan [Section references below correspond to Section
references in the Excess Plan]:

      2.7 COMPENSATION: The "Compensation" of a Participant shall mean all of
      each Participant's [check desired option(s)]:

      XX    (A)   Compensation received as an Employee reportable in box 1,
                  Wages, Tips and other Compensation, on Form W-2.

      ___   (B)   Annual base salary.

      ___   (C)   Annual bonus.

      ___   (D)   Long term incentive plan compensation.

      ___   (E)   Compensation received as an Independent Contractor reportable
                  on Form 1099.

      ___   (F)   Commissions.

      ___   (G)   other [specify]:_____________________________________________.

Notwithstanding the foregoing, Compensation [X]SHALL [ ]SHALL NOT include Salary
Deferral Credits under this Plan and amounts contributed by the Participant
pursuant to a Salary Deferral Agreement to another employee benefit plan of the
Employer which are not includible in the gross income of the Employee under
Section 125, 132(f)(4), 402(e)(3), 402(h) or 403(b) of the Code.

<PAGE>

      2.8 CREDITING DATE: The Deferred Compensation Account of a Participant
      shall be credited with the amount of any Salary Deferral Credits to such
      account at the time designated below [check desired Crediting Date]:

      ___   (A)   The last business day of each Plan Year.

      ___   (B)   The last business day of each calendar quarter during the Plan
                  Year.

      ___   (C)   The last business day of each month during the Plan Year.

      XX    (D)   The last business day of each payroll period during the Plan
                  Year.

      ___   (E)   Any business day on which Salary Deferral Credits are received
                  by the Sponsor.

      ___   (F)   Other [specify]:_____________________________________________.

      2.10 DISABILITY: The disability of a Participant shall be determined as
      follows:

      ___   (A)   The Participant shall be considered to be disabled when he has
                  been determined to be disabled for the purposes of any long
                  term disability insurance covering the Participant that is
                  sponsored by the Employer

      XX    (B)   The Participant shall be considered to be disabled when he has
                  been determined to be disabled for purposes of the Federal
                  Social Security Act.

      ___   (C)   Other:________________________________________________________
                  ______________________________________________________________
                  ______________________________________________________________

      2.14 EFFECTIVE DATE [check desired option]:

      ___   (A)   This is a newly-established Plan, and the Effective Date of
                  the Plan is OCTOBER 1, 2003.

      XX    (B)   This is an amendment and restatement of a plan named EQUITY
                  ONE DEFERRAL PLAN with an effective date of OCTOBER 1, 2003.
                  The Effective Date of this amended and restated Plan is
                  OCTOBER 1, 2005.

                  This is amendment number ONE.

<PAGE>

      2.20 NORMAL RETIREMENT DATE: The Normal Retirement Date of a Participant
      shall be: [check desired option]:

      XX    (A)   The attainment of age 55.

      ___   (B)   The later of age _____ or the ______ anniversary of the
                  participation commencement date. The participation
                  commencement date is the first day of the first Plan Year in
                  which the Participant commenced participation in the Plan.

      ___   (C)   The completion of _____ Years of Service.

      ___   (D)   The completion of _____ Years of Service and attainment of age
                  _____.

      2.22 PARTICIPATING EMPLOYER(S): As of the Effective Date, the following
      Participating Employer(s) are parties to the Plan [list all
      employer-parties, including the Employer]:

<TABLE>
<CAPTION>
       Name of Employer               Address          Telephone No.     EIN
       ----------------               -------          -------------     ---
<S>                         <C>                        <C>            <C>
       Equity One, Inc.         301 Lippincott Drive  (856) 396-3645  36-3618185
                                 Marlton, NJ 08053

Popular Financial Holdings, 301 Lippincott Drive      (856) 396-3645  36-3618185
            Inc                   Marlton, NJ 08053
</TABLE>

      2.23  PLAN: The name of the Plan as applied to the Employer is:
            POPULAR FINANCIAL HOLDINGS DEFERRAL PLAN.

      2.24  PLAN ADMINISTRATOR: The Plan Administrator shall be [check desired
            option]:

      ___   (A)   Committee.

      XX    (B)   Employer.

      ___   (C)   Other (specify): ___________________________________________.

<PAGE>

     2.25 PLAN YEAR: The Plan Year shall be the 12 consecutive calendar month
     period ending on the last day of the month of DECEMBER, and each
     anniversary thereof.

     2.34 TRUST: [check desired option]:

     XX    (A)   The Employer DOES DESIRE to establish a "rabbi" trust for the
                 purpose of setting aside assets of the Employer contributed
                 thereto for the payment of benefits under the Plan.

     ___   (B)   The Employer DOES NOT DESIRE to establish a "rabbi" trust for
                 the purpose of setting aside assets of the Employer
                 contributed thereto for the payment of benefits under the
                 Plan.

     ___   (C)   The Employer desires to establish a "rabbi" trust for the
                 purpose of setting aside assets of the Employer contributed
                 thereto for the payment of benefits under the Plan UPON THE
                 OCCURRENCE OF THE FOLLOWING EVENT(s):
                 ______________________________________________________________
                 ______________________________________________________________
                 ______________________________________________________________.

     4.1 SALARY DEFERRAL CREDITS: A Participant may elect to have his
     Compensation (as selected in Section 2.7 of this Adoption Agreement)
     reduced by the following annual percentage or amount as designated in
     writing to the Committee [check the applicable options]:

     XX    (A)   ANNUAL BASE SALARY:

                 [Complete the following blanks ONLY if a minimum or maximum
                 deferral is desired]:

                 Minimum deferral: $   *     or __________%
                 Maximum deferral:$_________ or __________%

     XX    (B)   ANNUAL BONUS:

                 [Complete the following blanks ONLY if a minimum or maximum
                 deferral is desired]:

                 Minimum deferral:$      *       or __________%
                 Maximum deferral:$_____________ or __________%

                 *AGGREGATE MINIMUM DEFERRAL OF $5,000.00

<PAGE>

      ___   (C)   OTHER [please specify type, as selected in Section 2.7 of this
                  Adoption Agreement]:
                  _____________________.

                  [Complete the following blanks ONLY if a minimum or maximum
                  deferral is desired]:

                  Minimum deferral: $_____________ or __________%
                  Maximum deferral: $_____________ or __________%

      ___   (D)   NOT APPLICABLE - no salary deferral provision.

      4.1.2 TERMINATION OF SALARY DEFERRALS: A Participant may terminate his
      Salary Deferral Agreement effective as of [check desired option]:

      XX    (A)   The first full payroll period commencing after the date
                  written notice of the termination is received by the
                  Committee.

      ___   (B)   The first day of the Plan Year occurring after the date
                  written notice of the termination is received by the
                  Committee.

      ___   (C)   Not applicable - no salary deferral provision.

      4.2 EMPLOYER CREDITS: The Employer will make Employer Credits in the
      following manner [check a MAXIMUM OF 2 desired option(s)]:

      XX    (A)   EMPLOYER MATCHING CREDITS: The Employer may make matching
                  credits to the Deferred Compensation Account of each
                  Participant in an amount determined as follows [check desired
                  option(s)]:

            ___   (i)   ______% of the Participant's Salary Deferral Credits.

            ___   (ii)  ______% of the first ______% of the Participant's
                        Compensation which is elected as a Salary Deferral
                        Credit.

            ___   (iii) An amount determined each Plan Year by the Employer.

            ___   (iv)  The Employer shall not match amounts provided above in
                        excess of $_______________or in excess of ______% of the
                        Participant's Compensation per Plan Year.

            ___    (v)  Other:_________________________________________________
                   ____________________________________________________________.

            XX    (vi)  Not applicable - no Employer matching credits provision.

<PAGE>

     XX    (B)   EMPLOYER PROFIT SHARING CREDITS: The Employer may make profit
                 sharing credits to the Deferred Compensation Account of each
                 Active Participant in an amount determined as follows:

           ___   (i)   Such amount out of the current or accumulated net profit
                       of the Employer for such year as the Employer in its
                       sole discretion shall determine.

           ___   (ii)  Such amount as the Employer in its sole discretion shall
                       determine without regard to current or accumulated net
                       profit.

           ___   (iii) The Employer shall not make profit sharing credits in
                       excess of $__________, or in excess of ____% of the
                       Participant's Compensation per Plan Year.

           ___   (iv)
                       Other:__________________________________________________
                       ________________________________________________________.

           XX    (v)   Not applicable - no Employer profit sharing provision.

     ___   (C)   OTHER [DESCRIBE]:
                 ______________________________________________________________
                 ______________________________________________________________
                 ______________________________________________________________
                 ______________________________________________________________.

     5.1 DEATH OF A PARTICIPANT: If the Participant dies while in Service, the
     Employer shall pay a benefit to the Beneficiary in an amount equal to the
     Accrued Benefit of the Participant determined as of the date payments to
     the Beneficiary commence, plus [check if desired]:

     ___   (A)   An amount to be determined by the Committee.

     ___   (B)   Other [specify]: ________________________________________.

     XX    (C)   No additional benefits.

<PAGE>

      6.1 IN-SERVICE WITHDRAWALS: In-service withdrawals may be made from the
      Plan [check desired option]:

      XX    (A)   Yes.

                  (i)   The In-Service Account may be withdrawn only after the
                        account has been established for [check desired option]:

                        XX    (a) A minimum of 2 years (insert minimum of 2
                                  years.)

                        ___   (b) Not applicable.

                  (ii)  A Participant may defer the date of any scheduled
                        in-service withdrawal by giving notice of the new
                        withdrawal date to the Committee [check desired option]:

                        XX    (a) At least 12 (insert minimum of 12) months
                                   prior to the scheduled withdrawal date.

                        ___   (b) Not applicable.

      ___   (B)   No in-service withdrawals.

<PAGE>

      6.2 FINANCIAL HARDSHIP WITHDRAWALS: Financial hardship withdrawals may be
      made from the Plan [check desired option]:

      XX    (A)   Yes.

      ___   (B)   No.

      6.4 EDUCATION WITHDRAWALS: Education withdrawals may be made from the Plan
      [check desired option]:

      XX    (A)   Yes.

                  (i)   Education withdrawals may be made in installment
                        payments over no more than 5 years.

                  (ii)  A Participant may defer the date of any scheduled
                        education withdrawal by giving notice of the new
                        withdrawal date to the Committee [check desired option]:

                        XX    (a)  At least 12 (insert minimum of 12) months
                                   prior to the scheduled withdrawal date.

                        ___   (b)  Not applicable.

      ___   (B)   No education withdrawals.

<PAGE>

      7.1 PAYMENT OPTIONS: Any benefit payable under the Plan upon a Qualifying
      Distribution Event may be made to the Participant or his Beneficiary (as
      applicable) in any of the following payment forms, as selected by the
      Participant upon his entry into the Plan [check desired option(s)]:

      XX    (A)   A lump sum in cash or shares of common stock of Popular, Inc.
                  as soon as practicable following the date of the Qualifying
                  Distribution Event.

      XX    (B)   Approximately equal annual installments over a term no longer
                  than 20 years as elected by the Participant upon his entry
                  into the Plan.

            XX    (i)   Payment of the benefit shall commence as soon as
                        practicable after the following date [select desired
                        option]:

                  ___   (a)   The first business day of the CALENDAR YEAR
                              following the date of the Qualifying Distribution
                              Event.

                  XX    (b)   The first business day of the CALENDAR QUARTER
                              following the date of the Qualifying Distribution
                              Event.

                  ___   (c)   The first business day of the CALENDAR MONTH
                              following the date of the Qualifying Distribution
                              Event.

                  The payment of each annual installment shall be made on the
                  anniversary of the date selected for the commencement of the
                  installment payments in this subsection (i). The amount of the
                  annual installment shall be adjusted on each anniversary date
                  of the commencement of the installment payments for credits or
                  debits to the Participant's account pursuant to Section 9 of
                  the Plan. Such adjustment shall be made by dividing the
                  balance in the Deferred Compensation Account on each such date
                  (following adjustment on such date) by the number of annual
                  installments remaining to be paid hereunder; provided that the
                  last annual installment due under the Plan shall be the entire
                  amount credited to the Participant's account on the date of
                  the payment.

            XX    (ii)  Notwithstanding the payment option elected by the
                        Participant, the vested Accrued Benefit of the
                        Participant will be distributed in a single lump sum in
                        cash if the amount of such benefit on the date that
                        payment is to commence does not exceed [check desired
                        option]:

                  XX    (a)  $ 10,000 (Insert desired cash out amount).

                  ___   (b)  Not applicable.

      XX    (C)   A Participant may defer the date of any scheduled payment by
                  giving notice of the new payment date to the Committee [check
                  desired option]:

            XX    (i)   At least 12 (insert minimum of 12) months prior to the
                        scheduled payment date.

            ___   (ii)  Not applicable.

      ___   (D)   Other [specify]:_____________________________________________.

<PAGE>

                        THIS SECTION IS NOT APPLICABLE.

      8. VESTING: An Active Participant shall be fully vested in the Employer
      Credits made to the Deferred Compensation Account upon occurrence of the
      following events [check or complete all that apply]:

      ___   (A)   Normal Retirement Date.

      ___   (B)   Death.

      ___   (C)   Disability.

      ___   (D)   Completion of that number of Years of Service specified below:

            ___   (i)   EMPLOYER MATCHING CREDITS [complete if applicable]:

                  ___   (a)   Immediate 100% vesting.

                  ___   (b)   100% vesting after______ Years of Service.

                  ___   (c)   100% vesting at age ____.

                  ___   (d)   Number of Years              Vested
                                of Service               Percentage
                              ---------------            ----------
                              Less than     1              ____%
                                            1              ____%
                                            2              ____%
                                            3              ____%
                                            4              ____%
                                            5              ____%
                                            6              ____%
                                            7              ____%
                                            8              ____%
                                            9              ____%
                                            10 or more     ____%

                  For this purpose, Years of Service of a Participant shall be
                  calculated from the date designated below [check desired
                  option]:

                        ___   (1)  First Day of Service.

                        ___   (2)  Effective Date of the Plan Participation.

                        ___   (3)  Each Crediting Date. Under this option
                                   (3), each Employer Matching Credit shall vest
                                   based on the Years of Service of a
                                   Participant from the Crediting Date on which
                                   each Employer Credit is made to his or her
                                   Deferred Compensation Account.

<PAGE>

                  ___   (ii)  EMPLOYER PROFIT SHARING CREDITS [complete if
                              applicable]:

                  ___   (a)   Immediate 100% vesting.

                  ___   (b)   100% vesting after ____Years of Service.

                  ___   (c)   100% vesting at age ____.

                  ___   (d)   Number of Years             Vested
                                 of Service             Percentage
                              ---------------           ----------
                              Less than     1              ____%
                                            1              ____%
                                            2              ____%
                                            3              ____%
                                            4              ____%
                                            5              ____%
                                            6              ____%
                                            7              ____%
                                            8              ____%
                                            9              ____%
                                            10 or more     ____%

                  For this purpose, Years of Service of a Participant shall be
                  calculated from the date designated below [check desired
                  option]:

                        ___   (1) First Day of Service.

                        ___   (2) Effective Date of the Plan Participation.

                        ___   (3) Each Crediting Date. Under this option (3),
                                  each Employer Profit Sharing Credit shall
                                  vest based on the Years of Service of a
                                  Participant from the Crediting Date on which
                                  each Employer Credit is made to his or her
                                  Deferred Compensation Account.

<PAGE>

            ___   (iii) OTHER EMPLOYER CREDITS [complete if applicable]:

                  ___   (a)   Immediate 100% vesting.

                  ___   (b)   100% vesting after____Years of Service.

                  ___   (c)   100% vesting at age ____.

                  ___   (d)   Number of Years              Vested
                               of Service                Percentage
                              ---------------            ----------
                              Less than     1              ____%
                                            1              ____%
                                            2              ____%
                                            3              ____%
                                            4              ____%
                                            5              ____%
                                            6              ____%
                                            7              ____%
                                            8              ____%
                                            9              ____%
                                            10 or more     ____%

            For this purpose, Years of Service of a Participant shall be
            calculated from the date designated below [check desired option]:

                  ___   (1)   First Day of Service.

                  ___   (2)   Effective Date of the Plan Participation.

                  ___   (3)   Each Crediting Date. Under this option (3), each
                              Other Employer Credit shall vest based on the
                              Years of Service of a Participant from the
                              Crediting Date on which each Employer Credit is
                              made to his or her Deferred Compensation Account.

      10. BENEFIT EXCHANGE: The Employer elects to permit the Participant to
      exchange all or any portion of the vested Accrued Benefit under the Plan
      for another type of nonqualified benefit [check desired option]:

      XX    (A)   Yes.

      ___   (B)   No.

      11. TRANSFER TO QUALIFIED PLAN: The Employer elects to permit the
      Participant to direct the transfer of a portion of his benefit under this
      Plan to a tax-qualified retirement plan maintained by the Employer [check
      desired option]:

      XX    (A)   Yes.

      QUALIFIED PLAN NAME: POPULAR FINANCIAL HOLDINGS, INC SAVINGS AND
      RETIREMENT PLAN.

      ___   (B)   No.

<PAGE>

     17. AMENDMENT OR TERMINATION OF PLAN: [check or complete all that apply]:

     ___   (A)   Notwithstanding any provision in this Adoption Agreement or
                 the Plan to the contrary, Section _____ of the Plan shall be
                 amended to read as follows:

                 See attached Exhibit ____.

     ___   (B)   The Plan shall be terminated upon the occurrence of one or
                 more of the following events [check if desired]:

           ___   (i)   The amount of shareholders equity shown on the financial
                       statements of the Employer for each of the two most
                       recent fiscal years is less than $_____________.

           ___   (ii)  The aggregate net loss (after tax) as reported on the
                       financial statements of the Employer for the two most
                       recent fiscal years is greater than $____________.

           ___   (iii) There is a change of control of the Employer. For this
                       purpose, a "change of control" shall be deemed to have
                       occurred if: (A) any person other than an officer who is
                       an Employee of the Employer for at least one year
                       preceding the change of control, acquires or becomes the
                       beneficial owner, directly or indirectly, of securities
                       of the Employer representing ____% [insert percentage]
                       or more of the combined voting power of the Employer's
                       then outstanding securities and thereafter, the
                       membership of the Board becomes such that a majority are
                       persons who were not members of the Board at the time of
                       the acquisition of securities; or (B) the Employer, or
                       its assets, are acquired by or combined with another
                       entity and less than a majority of the outstanding
                       voting shares of such entity after the acquisition or
                       combination are owned, immediately after the acquisition
                       or combination, by the owners of voting shares of the
                       Employer immediately prior to the acquisition or
                       combination.

           ___   (iv)  Other [specify]:________________________________________
                       ________________________________________________________
                       ________________________________________________________
                       ________________________________________________________.

     ___   (C)   In the event of a termination of the Plan, the Employer elects
                 that [check if desired]:

           ___   (i)   Each Active Participant will become fully vested in the
                       Deferred Compensation Account. [If not checked, the
                       vesting provisions of Section 8 will continue to apply.]

           ___   (ii)  The Deferred Compensation Account will be immediately
                       distributed to each Participant in a single lump sum
                       payment. [If not checked the payment provisions of
                       Section 7 will continue to apply.]

                                     -13-

<PAGE>

20.9  CONSTRUCTION: The provisions of the Plan and Trust (if any) shall be
      construed and enforced according to the laws of the State of DELAWARE,
      except to the extent that such laws are superseded by ERISA.

      IN WITNESS WHEREOF, this Agreement has been executed as of the day and
year first above stated.

                                        POPULAR FINANCIAL HOLDINGS, INC.
                                        Name of Employer

                                    By: /s/ Cameron E. Williams
                                        ----------------------------------------
                                                       Authorized Person

                                                   President and CEO
                                        ----------------------------------------
                                                         Title

NOTE: EXECUTION OF THIS ADOPTION AGREEMENT CREATES A LEGAL LIABILITY OF THE
EMPLOYER WITH SIGNIFICANT TAX CONSEQUENCES TO THE EMPLOYER AND PARTICIPANTS. THE
EMPLOYER SHOULD OBTAIN LEGAL AND TAX ADVICE FROM ITS PROFESSIONAL ADVISORS
BEFORE ADOPTING THE PLAN. THE SPONSOR DISCLAIMS ALL LIABILITY FOR THE LEGAL AND
TAX CONSEQUENCES WHICH RESULT FROM THE ELECTIONS MADE BY THE EMPLOYER IN THIS
ADOPTION AGREEMENT.

                                      -14-Exhibit 10.1

 

EXHIBIT 10.1

AMERICAN
GREETINGS CORPORATION

EXECUTIVE DEFERRED COMPENSATION PLAN

 

 

AMERICAN
GREETINGS CORPORATION

EXECUTIVE DEFERRED COMPENSATION PLAN

Table of Contents

	 	 	 	 	 
	 	 	Page	 
	ARTICLE l
— GENERAL
	 	 	 	 
	Section 1.1
Effective Date
	 	 	1	 
	Section l.2 Intent
	 	 	1	 
	 
	 	 	 	 
	ARTICLE
ll — DEFINITIONS AND USAGE
	 	 	 	 
	Section 2.l Definitions
	 	 	2	 
	Section 2.2 Usage
	 	 	3	 
	 
	 	 	 	 
	ARTICLE
lll — ELIGIBILITY AND PARTICIPATION
	 	 	 	 
	Section 3.1 Eligibility
	 	 	3	 
	Section 3.2 Participation
	 	 	4	 
	Section 3.3 Agreement Procedure
	 	 	4	 
	 
	 	 	 	 
	ARTICLE
lV — DEFERRED COMPENSATION BENEFIT
	 	 	 	 
	Section 4.1
Deferred Compensation Benefit
	 	 	4	 
	Section 4.2 Accounts
	 	 	4	 
	Section 4.3 Negotiated Contributions
	 	 	5	 
	Section 4.4 Matching Contributions
	 	 	5	 
	Section 4.5 Investment Procedure
	 	 	5	 
	Section 4.6 Investments
	 	 	5	 
	Section 4.7 Valuation of Accounts
	 	 	5	 
	 
	 	 	 	 
	ARTICLE V — RESTORATION BENEFIT
	 	 	 	 
	Section 5.1 Restoration Benefit
	 	 	6	 
	Section 5.2 Accounts
	 	 	6	 
	Section 5.3 Restoration Contributions
	 	 	6	 
	Section 5.4 Investment Procedure
	 	 	6	 
	Section 5.5 Investments
	 	 	6	 
	Section 5.6 Valuation of Accounts
	 	 	6	 
	 
	 	 	 	 
	ARTICLE Vl — PAYMENT OF BENEFIT PRIOR TO DEATH OR DISABILITY
	 	 	 	 
	Section 6.l Commencement of Benefit Payments
	 	 	7	 
	Section 6.2 Form of Benefit Payments
	 	 	7	 

 

 

AMERICAN
GREETINGS CORPORATION

EXECUTIVE DEFERRED COMPENSATION PLAN

Table of Contents

	 	 	 	 	 
	 	 	Page	 
	ARTICLE Vll — PAYMENT OF BENEFIT ON OR AFTER DEATH OR
DISABILITY
	 	 	 	 
	Section 7.1 Commencement of Benefit Payments
	 	 	8	 
	Section 7.2 Designation of Beneficiary
	 	 	8	 
	 
	 	 	 	 
	ARTICLE Vlll — ADMINISTRATION
	 	 	 	 
	Section 8.1 General
	 	 	8	 
	Section 8.2 Administrative Rules
	 	 	8	 
	Section 8.3 Duties
	 	 	9	 
	Section 8.4 Fees
	 	 	9	 
	 
	 	 	 	 
	ARTICLE lX — CLAIMS PROCEDURE
	 	 	 	 
	Section 9.1 General
	 	 	9	 
	Section 9.2 Denials
	 	 	9	 
	Section 9.3 Notice
	 	 	10	 
	Section 9.4 Appeals Procedure
	 	 	10	 
	Section 9.5 Review
	 	 	10	 
	Section 9.6 Arbitration
	 	 	10	 
	 
	 	 	 	 
	ARTICLE X — MISCELLANEOUS PROVISIONS
	 	 	 	 
	Section 10.1 Amendment
	 	 	10	 
	Section 10.2 Termination
	 	 	11	 
	Section 10.3 No Assignment
	 	 	11	 
	Section 10.4 Successors
	 	 	11	 
	Section 10.5 Governing Law
	 	 	11	 
	Section 10.6 No Guarantee of Employment
	 	 	11	 
	Section 10.7 Severability
	 	 	11	 
	Section 10.8 Forfeiture Upon Termination for Cause
	 	 	11	 
	Section 10.9 Notification of Addresses
	 	 	12	 
	Section 10.10 Bonding
	 	 	12	 
	 
	 	 	 	 
	ARTICLE XI — TRUST
	 	 	 	 
	Section 11.1 Trust
	 	 	12	 
	Section 11.2 Contributions and Expenses
	 	 	12	 
	Section 11.3 Trustee Duties
	 	 	12	 
	Section 11.4 Reversion to the Employer
	 	 	12	 

 

 

AMERICAN
GREETINGS CORPORATION

EXECUTIVE DEFERRED COMPENSATION PLAN

PREAMBLE

WHEREAS, American Greetings Corporation (the “Employer”) has established one or more qualified
retirement or deferred compensation plans for its employees; and

WHEREAS, the Employer recognizes that such qualified plans place limitations on the amount of
retirement and deferred compensation benefits available to certain executive employees; and

WHEREAS, the Employer recognizes the unique qualifications of its executive employees and the
valuable services that they have provided to or for the Employer; and

WHEREAS, the Employer desires to establish an unfunded plan to pay deferred compensation benefits
to certain of its executive employees in excess of what is available under such qualified plans;
and

WHEREAS, the Employer has determined that the implementation of a plan to provide such excess
benefits will best serve its interest in retaining executive employees;

NOW, THEREFORE, the Employer hereby establishes the American Greetings Corporation Executive
Deferred Compensation Plan as hereinafter provided:

ARTICLE l

GENERAL

Section 1.1 Effective Date. The provisions of the Plan shall be effective as of October 26, 1993.
The rights, if any, of any person whose status as an employee of the Employer has terminated shall
be determined pursuant to the Plan as in effect on the date such employee terminated, unless a
subsequently adopted provision of the Plan states otherwise.

Section 1.2
Intent. The Plan is intended to be an unfunded plan primarily for the purpose of
providing deferred compensation benefits to a select group of management or highly compensated
employees as such group is described under Sections 201(2), 301(a)(3), and 401(a)(1) of ERISA. The
Plan is not intended to be a plan described in Section 401(a) of the Code.

1

 

ARTICLE ll

DEFINITIONS AND USAGE

Section 2.1 Definitions. Wherever used in the Plan, the following words and phrases shall have the
meaning set forth below unless the context plainly requires a different meaning:

“Account” means the account(s) established on behalf of the Participant as described in Section
4.2 and Section 5.2, as applicable.

“Administrator” means the person or persons described in Article Vlll.

“Agreement” means an Agreement for Deferred Compensation Benefits negotiated between the
Employer and an eligible employee in accordance with Section 3.3.

“Board” means the members of the Board of Directors of American Greetings Corporation and any
committee of the Board.

“Code” means the Internal Revenue Code of 1986, as amended.

“Compensation” means the total of all wages, salaries, bonuses, restricted stock grants, fees
for professional service and other amounts received by an employee for personal services
actually rendered in the course of employment with the Employer, including those items specified
in Treasury Regulation §1.415-2(d)(2), but excluding amounts realized from the exercise of a
non-qualified stock option, amounts realized from the sale, exchange or other disposition of
stock acquired under a qualified stock option, amounts paid or reimbursed for moving expenses to
the extent such amounts are deductible by the employee, and mileage reported as income for the
personal uses of an Employer automobile.

“Deferred Compensation Benefit” means the benefit of a Participant as determined under Article
IV of this Plan.

“Disability” or “Disabled” means a physical or mental condition of a Participant resulting from
a bodily injury, disease, or mental disorder which renders him incapable of continuing in the
employment of the Employer. Such Disability shall be determined by the Administrator based upon
appropriate medical advice and examination.

“Employer” means American Greetings Corporation, a corporation organized under the laws of the
state of Ohio, and its controlled subsidiaries and affiliates.

2

 

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended.

“Participant” means an eligible employee of the Employer who is participating in the Plan in
accordance with Section 3.2.

“Plan” means the American Greetings Corporation Executive Deferred Compensation Plan.

“Plan Year” means the calendar year.

“Restoration Benefit” means the benefit of a Participant as determined under Article V of this
Plan.

“Termination for Cause” means the termination of a Participant’s employment due to any act
which, in the Administrator’s reasonable discretion, is deemed to be materially inimical to the
best interests of the Employer (or any Employer), including, but not limited to (i) serious,
willful misconduct in respect to his duties for the Employer, (ii) conviction of a felony or
perpetration of a common law fraud, relative to the Employer’s business, (iii) willful failure
to comply materially with applicable laws with respect to the execution of the Employer’s
business operations, (iv) theft, fraud, embezzlement, dishonesty or other conduct which has
resulted in material economic damage to the Employer or (v) failure to materially comply with
the requirements of the Employer’s drug and alcohol abuse policies, if any.

“Unforeseeable Emergency” means an unanticipated emergency that is caused by an event beyond the
control of the Participant and that would result in severe financial hardship to the individual
if early withdrawal were not permitted. Such early withdrawal is limited to the amount
necessary to meet the emergency.

Section 2.2 Usage. Except where otherwise indicated by the context, any masculine terminology used
herein shall also include the feminine and vice versa, and the definition of any term herein in the
singular shall also include the plural and vice versa.

ARTICLE lII

ELIGIBILITY AND PARTICIPATION

Section 3.1
Eligibility. An employee of the Employer shall be eligible to participate in the Plan
at such time and for such period as designated by the Administrator in accordance with the Plan and
Agreement; provided, however, that such employee is a member of a select group of management or
highly compensated employees as such group is described under sections 201(2), 301(a)(3), and
401(a)(1) of ERISA.

3

 

Section 3.2 Participation. Each eligible employee of the Employer shall become a Participant by
entering into an Agreement in the manner provided in Section 3.3 below or by having Restoration
Benefits credited to his Account pursuant to Section 5.3 hereof.

Section 3.3 Agreement Procedure.

(a) The Employer and each employee who is eligible to participate in the Plan may execute one or
more Agreements for the portion of the employee’s Compensation which the employee elects to apply
to the payment of the Deferred Compensation Benefit under the Plan. Each Agreement shall provide
for the amount credited to a Participant’s Account in accordance with Section 4.3 below, the period
of deferral in accordance with rules established by the Administrator, the investment of such
amount in accordance with Section 4.6 below, and the payment of the Participant’s Deferred
Compensation Benefit in accordance with Sections 6.1 and 6.2 below.

(b) For the initial Plan Year in which an employee becomes eligible to participate in the Plan, the
Agreement shall be a properly completed, executed and delivered to the Administrator prior to the
later of (i) the first day of the Plan Year for which the employee first becomes eligible to
participate in the Plan, or (ii) 30 days after the date on which the employee first becomes
eligible to participate in the Plan.

(c) For any subsequent Plan Year for which an employee is eligible to participate in the Plan, the
Agreement shall be properly completed, executed and delivered to the Administrator prior to the
first day of the Plan Year for which such Agreement shall be effective.

(d) The deferral period provided under a prior Agreement may be extended at the election of a
Participant under rules established by the Administrator; provided, however, that any such election
must be made six (6) months prior to the expiration of the deferral period provided under such
prior Agreement.

(e) An Agreement shall be effective no earlier than the date on which it is delivered to the
Administrator and shall continue in effect for all succeeding Plan Years until the Deferred
Compensation Benefit attributable to such Agreement has been paid, unless otherwise provided under
the Plan.

ARTICLE IV

DEFERRED COMPENSATOIN BENEFIT

Section 4.1 Deferred Compensation Benefit. A Participant’s Deferred Compensation Benefit shall be
equal to the total amount credited to the Participant’s Account under this Article IV.

Section 4.2 Accounts. The Employer shall establish and maintain, pursuant to the terms of the
Plan, an Account for each Participant consisting of amounts credited to

4

 

such Account pursuant to Sections 4.3, 4.4, 4.5, 4.6 and 4.7 below. All amounts which are credited
to the account shall be credited solely for purposes of accounting and computation, and shall
remain assets of the Employer subject to the claims of the Employer’s general creditors.

Section 4.3 Negotiated Contributions. The Employer shall contribute such amount under the Plan as
determined under the Agreement which is in effect for such Plan Year.

Section 4.4 Matching Contributions. An “Employer Matching Contribution” as determined under the
American Greetings Corporation Employees’ Profit Sharing Plan, or successor plan, if any, shall be
credited to a Participant’s Account for each Plan Year in which the Participant is an eligible
employee of the Employer, but only to the extent such contribution was restricted under such plan
due to the limitations imposed under Sections 401(k)(3), 401(m)(2) or 402(g)(1) of the Code.

Section 4.5 Investment Procedure. Periodically, a Participant may express his investment vehicle
preferences and the allocation of his funds among those vehicles. However, the Board shall retain
overriding discretion over the selection of investment vehicles available and the Board may change,
alter or modify its investment policy as it deems appropriate, from time to time, to maximize
benefits under the Plan. Any such change, alteration or modification shall be communicated to the
Participants under procedures adopted by the Administrator.

Section 4.6 Investments. The portion of a Participant’s Account which is not invested pursuant to
the Agreement with the Participant (including any matching contributions) shall be invested as
reasonably determined by the Employer, in accordance with the procedures established by the
Administrator.

Section 4.7 Valuation of Accounts. The value of a Participant’s Account shall be determined from
time to time by the Administrator in the following manner:

(a) During any period of time in which a Participant’s Account is deemed invested in whole or in
part pursuant to the Agreement with the Participant (in the manner described in Section 4.5 above),
the income and expenses, gains and losses, both realized and unrealized, from such deemed
investments shall be determined by the Administrator. The amount so determined shall be allocated
to the Account of a Participant proportionately in accordance with the reasonable procedures
established by the Administrator.

(b) The portion of a Participant’s Account which is not invested pursuant to the Agreement with the
Participant shall be credited with earnings on the investments as specified in Section 4.6.

(c) All negotiated contributions and matching contributions for a Participant shall be credited to
the Account of the Participant in accordance with Sections 4.3 and 4.4, respectively.

5

 

(d) Each Participant’s Account shall be valued as of the last day of each Plan year or more
frequently as agreed upon by the Administrator, and shall again be valued as of the date that a
Participant receives a payment under the Plan, in accordance with the procedures established by the
Administrator.

(e) All allocations to the Participant’s Account under this Section 4.7 shall be deemed to have
been made on the applicable valuation date in the manner set forth in this Section 4.7, even though
actually determined at a later date.

ARTICLE V

RESTORATION BENEFIT

Section 5.1 Restoration Benefit. A Participant’s Restoration Benefit shall be equal to the total
amount credited to the Participant’s Account under this Article V.

Section 5.2 Accounts. The Employer shall establish and maintain, pursuant to the terms of the
Plan, an Account for each Participant consisting of amounts credited to such Account pursuant to
Sections 5.3, 5.4, 5.5 and 5.6 below. All amounts which are credited to the Account shall be
credited solely for purposes of accounting and computation, and shall remain assets of the Employer
subject to the claims of the Employer’s general creditors.

Section 5.3 Restoration Contributions. An amount determined by the Board, in its sole discretion,
may be credited to a Participant’s Account for each Plan Year in which the Participant is an
eligible employee of the Employer whose allocation of “Employer Contributions” under the American
Greetings Corporation Employees’ Retirement Profit Sharing Plan, if any, is restricted due to the
limitations imposed under Sections 401(a)(17) and 415 of the Code..

Section 5.4
Investment Procedure. Periodically, a Participant may express his investment vehicle
preferences and the allocation of his respective share of restoration contributions among those
vehicles. However, the Board shall retain overriding discretion over the selection of investment
vehicles available and the Board may change, alter or modify its investment policy as it deems
appropriate, from time to time, to maximize benefits under the Plan. Any such change, alternation
or modification shall be communicated to the Participants under procedures adopted by the
Administrator.

Section 5.5 Investments. The portion of a Participant’s Account which is not invested pursuant to
an agreement with the Participant shall be invested as reasonably determined by the Employer, in
accordance with the procedures established by the Administrator.

Section 5.6 Valuation of Accounts. The value of a Participant’s Account shall be determined from
time to time by the Administrator in the following manner:

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(a) During any period of time in which a Participant’s Account is deemed invested in whole or in
part pursuant to an agreement with the Participant (in the manner described in Section 5.4 above),
the income and expenses, gains and losses, both realized and unrealized, from such deemed
investments shall be determined by the Administrator. The amount so determined shall be allocated
to the Account of a Participant proportionately in accordance with the reasonable procedures
established by the Administrator.

(b) The portion of a Participant’s Account which is not invested pursuant to an agreement with the
Participant shall be credited with earnings on the investments as specified in Section 5.5.

(c) All restoration contributions for a Participant shall be credited to the Account of the
Participant in accordance with Section 5.3.

(d) Each Participant’s Account shall be valued as of the last day of each Plan Year or more
frequently as agreed upon by the Administrator, and shall again be valued as of the date that a
Participant receives a payment under the Plan, in accordance with the procedures established by the
Administrator.

(e) All allocations to a Participant’s Account under this Section 5.6 shall be deemed to have been
made on the applicable valuation date in the manner set forth in this Section 5.6, even though
actually determined at a later date.

ARTICLE VI

PAYMENT OF BENEFIT PRIOR TO DEATH OR DISABILITY

Section 6.1 Commencement of Benefit Payments. Except as provided in Section 10.8, the payment of a
Participant’s Deferred Compensation Benefit and Restoration Benefit shall commence within 30 days
after the date on which the earlier of the following events occurs, as applicable:

(a) The expiration of the deferral period provided under the Participant’s Agreement.

(b) The Participant incurs an Unforeseeable Emergency (as determined by the Administrator in
accordance with the Plan),

(c) The Participant terminates service with the Employer for any reason, or

(d) The Participant’s service is terminated by the Employer for any reason.

Section 6.2 Form of Benefit Payments. Except as provided in Article VII, the Participant’s
Deferred Compensation Benefit shall be paid in the form provided under the Participant’s Agreement.
If the Participant’s Agreement does not provide for a form of payment, then the Participant’s
Deferred Compensation Benefit shall be paid in a single lump-sum. If the Participant has
negotiated two or more Agreements which do

7

 

not provide for the same form of payment, then a proportionate amount of the Participant’s Deferred
Compensation Benefit shall be paid in the form provided under both
this Section 6.2 and each
respective Agreement in accordance with the procedures established by the Administrator.

Except as provided in Article VII, the Participant’s Restoration Benefit shall be paid in a single
lump-sum unless a periodic payment is elected by the Participant under procedures established by
the Administrator. Any election to receive a periodic payment under this Section 6.2 shall be made
six (6) months prior to the effective date of the Participant’s termination of employment with the
Employer.

However, if the Plan is terminated pursuant to Section 10.2, the Administrator reserves the right
to pay all benefits in a single lump-sum.

ARTICLE VII

PAYMENT OF BENEFIT ON OR AFTER DEATH OR DISABILITY

Section 7.1 Commencement of Benefit Payments. If a Participant dies or becomes Disabled prior to
receiving the entire Deferred Compensation Benefit and Restoration Benefit, then the remainder of
such Benefits otherwise payable with respect to the Participant shall be paid in the Participant’s
beneficiary or guardian (as the case may be) in a single lump-sum amount within 30 days following
the date on which the Administrator is notified or otherwise determined such event has occurred.

Section 7.2 Designation of Beneficiary. A Participant may, by written instrument delivered to the
Administrator during the Participant’s lifetime, designate one or more primary and contingent
beneficiaries to receive the Deferred Compensation Benefit and Restoration Benefit which may be
payable hereunder following the Participant’s death, and may designate the proportions in which
such beneficiaries are to receive such payments. A Participant may change such designations from
time to time, and the last written designation filed with the Administrator prior to the
Participant’s death shall control. If a Participant fails to specifically designate a beneficiary,
or if no designated beneficiary survives the Participant, payment shall be made by the
Administrator to the Participant’s estate.

ARTICLE VIII

ADMINISTRATION

SECTION 8.1 General. The Administrator shall be the Board, or such other person or persons as
designated by the Board. Except as otherwise specifically provided in the Plan, the Administrator
shall be responsible for administration of the Plan.

Section 8.2 Administrative Rules. The Administrator may adopt such rules of procedure as it deems
desirable for the conduct of its affairs, except to the extent that such rules conflict with the
provisions of the Plan.

8

 

Section 8.3 Duties. The Administrator shall have the following rights, powers and duties:

(a) Subject to the terms of this Plan (including without limitation the claims procedure in Article
IX) and the Agreement, the decision of the Administrator in matters within its jurisdiction shall
be final, binding and conclusive upon the Employer and upon any other person affected by such
decision.

(b) The Administrator shall have the duty and authority to interpret and construe the provisions of
the Plan, to decide any question which may arise regarding the rights of employees, Participants,
and beneficiaries, and the amounts of their respective interests, to adopt such rules and to
exercise such powers as the Administrator may deem necessary for the administration of the Plan,
and to exercise any other rights, powers or privileges granted to the Administrator by the Board
under the terms of the Plan.

(c) The Administrator shall maintain full and complete records of its decisions. The Administrator
shall have the duty to maintain Account records of all Participants, including all relevant data
pertaining to Participants. The Administrator shall within a reasonable time after the end of each
calendar year provide each Participant a detailed report of the status of the Participant’s
Account.

(d) The Administrator shall cause the principal provisions of the Plan to be communicated to the
Participants, and a copy of the Plan and other documents shall be available at the principal office
of the Employer for inspection by the Participants at reasonable times determined by the
Administrator.

(e) The Administrator shall periodically report to the Board with respect to the status of the
Plan.

Section 8.4 Fees. No fee or compensation shall be paid to any person for services as the
Administrator.

ARTICLE IX

CLAIMS PROCEDURE

Section 9.1 General. Any claim for Deferred Compensation or Restoration Benefits under the Plan
shall be filed by the Participant or beneficiary (“claimant”) on the form prescribed for such
purposes with the Administrator.

Section 9.2 Denials. If a claim for Deferred Compensation Benefits or Restoration Benefits under
the Plan is wholly or partially denied, notice of the decision shall be furnished to the claimant
by the Administrator within a reasonable period of time after receipt of the claim by the
Administrator.

9

 

Section 9.3 Notice. Any claimant who is denied a claim for Deferred Compensation Benefits or
Restoration Benefits shall be furnished written notice setting forth:

(a) The specific reason or reasons for the denial;

(b) Specific reference to the pertinent provision of the Plan upon which the denial is based;

(c) A description of any additional material or information necessary for the claimant to perfect
the claim; and

(d) An explanation of the claim review procedure under the Plan.

Section 9.4 Appeals Procedure. In order that a claimant may appeal a denial of a claim, the
claimant or the claimant’s duly authorized representative may:

(a) Request a review by written application to the Administrator, or its designate, no later than
60 days after receipt by the claimant of written notification of denial of a claim;

(b) Review pertinent documents; and

(c) Submit issues and comments in writing.

Section 9.5 Review. A decision on review of a denied claim shall be made not later than 60 days
after receipt of a request for review, unless special circumstances require an extension of time
for processing, in which case a decision shall be rendered within a reasonable period of time, but
not later than 120 days after receipt of a request for review. The decision on review shall be in
writing and shall include the specific reason(s) for the decision and the specific reference(s) to
the pertinent provisions of the Plan on which the decision is based.

Section 9.6 Arbitration. If a claimant disagrees with the decision on review, he shall have 30
days from receipt of the decision on review to demand binding confidential arbitration before three
arbitrators in Cleveland, Ohio under Ohio law and the rules of Center for Public Resources or
American Arbitration Association (as the claimant may choose) for arbitration of employment
disputes as his sole remedy. The award of the arbitrator shall be enforceable under 9USC Sections
1-16 in any Court of competent jurisdiction.

ARTICLE X

MISCELLANEOUS PROVISIONS

Section 10.1 Amendment. The Employer reserves the right to amend the Plan retroactively or
otherwise, in any manner that it deems advisable, by a resolution of the Board. No amendment
shall, without the Participant’s or beneficiary’s, as the case may

10

 

be, consent, affect the amount of the Participant’s Deferred Compensation Benefit or Restoration
Benefit at the time the amendment becomes effective or the right of the Participant to receive such
Benefits.

Section 10.2 Termination. The Employer reserves the right to terminate the Plan at any time. No
termination shall, without the Participant’s or beneficiary’s, as the case may be, consent, affect
the amount of the Participant’s Deferred Compensation Benefit or Restoration Benefit prior to the
termination or the right of the Participant to receive such Benefit(s).

Section 10.3 No Assignment. The Participant shall not have the power to pledge, transfer, assign,
anticipate, mortgage or otherwise encumber or dispose of in advance any interest in amounts payable
hereunder or any of the payments provided for herein, nor shall any interest in amounts payable
hereunder or in any payments be subject to seizure for payments of any debts, judgments, alimony or
separate maintenance, or be reached or transferred by operation of law in the event of bankruptcy,
insolvency or otherwise.

In the event of an attempted seizure, any amounts payable hereunder may be paid to one or more of
the Participant’s relatives or children, or his spouse, as the Administrator shall determine.

Section 10.4 Successors. The provisions of the Plan are binding upon and inure to the benefit of
the Employer, its successors and assigns, and the Participant, his beneficiaries, heirs, and legal
representatives.

Section 10.5. Governing Law. The Plan shall be subject to and construed in accordance with the
laws of the State of Ohio to the extent not preempted by applicable law.

Section 10.6 No Guarantee of Employment. Nothing contained in the Plan shall be construed as a
contract of employment or deemed to give any Participant the right to be retained in the employ of
the Employer or any equity or other interest in the assets, business or affairs of the Employer.
No Participant hereunder shall have a security interest in assets of the Employer used to make
contributions or pay benefits.

Section 10.7 Severability. If any provision of the Plan shall be held illegal or invalid for any
reasons, such illegality or invalidity shall not affect the remaining provision of the Plan, but
the Plan shall be construed and enforced as if such illegal or invalid provision had never been
included herein.

Section 10.8 Forfeiture Upon Termination for Cause. Notwithstanding anything in this Plan to the
contrary, a Participant’s Deferred Compensation Benefit (excepting that portion thereof
attributable solely to amounts credited to such Participant’s Account as negotiated contributions
under section 4.3 and earnings thereon) and Restoration Benefit shall be forfeited, and no such
Benefits shall be payable under this Plan with respect to such Participant, in the event of his
Termination for Cause.

11

 

Section 10.9 Notification of Addresses. Each Participant and each beneficiary shall file with the
Administrator, from time to time, in writing, the post office address of the Participant, the post
office address of each beneficiary, and each change of post office address. Any communication,
statement or notice addressed to the last post office address filed with the Administrator (or if
no such address was filed with the Administrator, then to the last post office address of the
Participant or beneficiary as shown on the Employer’s records) shall be binding on the Participant
and each beneficiary for all purposes of the Plan and neither the Administrator nor the Employer
shall be obliged to search for or ascertain the whereabouts of any Participant or beneficiary.

Section 10.10 Bonding. The Administrator and all agents and advisors employed by it shall not be
required to be bonded, except as otherwise required by applicable law.

ARTICLE XI

TRUST

Section 11.1 Trust. A trust to be known as the American Greetings Corporation Executive Deferred
Compensation Benefit Trust (the “Trust”) has been established by the execution of a Trust agreement
with one or more trustees and is intended to be maintained as a “grantor trust” under section 677
of the Code. The assets of the Trust will be held, invested and disposed of by the trustee, in
accordance with the terms of the Trust, for the exclusive purpose of providing Deferred
Compensation Benefits and Restoration Benefits for the Participants. Notwithstanding any provision
of the Plan or the Trust to the contrary, the assets of the Trust shall at all times be subject to
the claims of the Employer’s general creditors in the event of insolvency or bankruptcy.

Section 11.2 Contributions and Expenses. The Employer may, from time to time, make contributions
to the Trust in accordance with the Agreement and Plan. All Deferred Compensation Benefits and
Restoration Benefits under the Plan and expenses chargeable to the Plan, to the extent not paid
directly by the Employer, shall be paid from the Trust.

Section 11.3 Trustee Duties. The powers, duties and responsibilities of the trustee shall be as
set forth in the Trust agreement and nothing contained in the Plan, either expressly or by
implication, shall impose any additional powers, duties or responsibilities upon the trustee.

Section 11.4 Reversion to the Employer. The Employer shall have no beneficial interest in the
Trust and no part of the Trust shall ever revert or be repaid to the Employer, directly or
indirectly, except as otherwise provided in Section 10.8 or 11.1 above or the Trust Agreement.

12

 

The undersigned, pursuant to the approval of the Board on October 25, 1993, does herewith execute
the American Greetings Corporation Executive Deferred Compensation
Plan.

October 26, 1993

	 	 	 	 	 
	 	 	AMERICAN GREETINGS CORPORATION
	 
	 	 	 	 
	 

	 	By:	 	/s/ Dale A. Cable
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	Its:	 	Treasurer
	 

	 	 	 	 

	 	 	 	 	 
	 

	 	 	 	 
	WITNESS:
	 	/s/ Harvey Levin	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	Its:
	 	Senior Vice President	 	 
	 

	 	 	 	 

13

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