Document:

exa1051.htm

    

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      
        	
                EXHIBIT
      A 10.5.1

                 

                FORM
      OF CHANGE OF CONTROL AGREEMENT

                (As
      Amended May 6, 2008)

                 

                 

                WHEREAS,
      _________________, (“Executive”) and Central Vermont Public Service
      Corporation (“Company”) entered into a Change of Control Agreement dated
      ____________ (the “Agreement”):

                 

                WHEREAS,
      the Agreement is scheduled to expire by its terms on ____________ and
      Executive and Company have executed a Change in Control Agreement on
      _________ which agreement will take effect on April 6, 2009, and supersede
      all prior agreements;

                 

                WHEREAS,
      the American Jobs Creation Act of 2004 included new statutory rules under
      Section 409A of the Internal Revenue Code of 1986, as amended (“Section
      409A”) that substantially altered the income tax treatment of compensation
      that is regarded, under those rules, as deferred pursuant to a
      nonqualified deferred compensation plan;

                 

                WHEREAS,
      under Section 409A, unless certain limitations on payment and other
      requirements are provided for in a deferred compensation plan,
      participants may be subject to regular income tax on amounts payable
      pursuant to such deferred compensation plan before payments are made as
      well as a 20% excise tax;

                 

                WHEREAS,
      the Agreement is subject to the requirements of Section
      409A;

                 

                WHEREAS,
      the Executive and Company have determined that it is in their best
      interest to amend the Agreement so as to bring it into compliance with
      Section 409A;

                 

                NOW
      THEREFORE, Executive and Company hereby agree to the following
      amendments:

                 

                Section
      1 of the Agreement shall be amended to read as follows:

                 

                1.         General
      Conditions

                 

                No
      benefit shall be payable hereunder pursuant to Section 5 unless there
      shall have been both a Change of Control of the Company, as set forth in
      Section 3, and

              

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      
        	
                a
      Termination Event, as set forth in Section 4 that results in Executive’s
      “Separation From Service” (as hereinafter defined).  For
      purposes of this Agreement a Separation From Service means the termination
      of employment with the Company or any subsidiary of the Company in a
      manner that constitutes a “separation from service” within the meaning of
      Section 409A and the Treasury Regulations promulgated
      thereunder.  In construing the terms of the Agreement, it is the
      intent of the parties to this Agreement to provide the Executive with
      financial protection in the event significant changes in his employment
      status occur following a Change of Control of the Company, and it is
      agreed that provisions of the Agreement are therefore to be construed
      using a reasonable man standard and not on narrow technical
      grounds.

                 

                The
      first paragraph of Section 5A. of the Agreement shall be amended to read
      as follows:

                 

                5.           Severance
      Compensation

                 

                 A.       If
      within three (3) years following a Change of Control, (i) a Termination
      Event shall have occurred that results in Executive’s Separation from
      Service or (ii) the Company requires Executive’s Separation from Service
      without Cause (either of (i) or (ii) occurring within three years
      following a Change of Control being a “Payment Event”), the Company agrees
      to make payment in a lump sum ("Severance Compensation") to the Executive
      of an amount equal to (1) times (2), where:

                 

                Section
      6B. of the Agreement shall be amended to read as follows:

                 

                 B.      
      Date
      of Payment of Severance Benefits

                 

                The
      Company shall pay to the Executive the Severance Compensation provided in
      Section 5 on the first business day of the seventh month following the
      Termination Date (the “Regulatory Period”) except in the event that the
      Executive shall die during the Regulatory Period, the Severance
      Compensation shall be paid within 30 days of the Company’s receipt of
      notice of Executive’s death.

                 

                Section
      6C. (3) and the first paragraph of Section 6C. (4) of the Agreement shall
      be amended to read as follows:

                 

                (3)      
      Without
      Cause, that date on which the Executive’s employment was terminated
      by the company without Cause in a manner that constitutes a Separation
      from Service.

                 

                (4)       
      For
      a Termination Event, the date on which occurs a Separation from
      Service resulting from a Termination Event as described in Section
      4A.

              

      

       

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

       

      
        	
                Section
      7A. and Section 7B 1. of the Agreement shall be amended to read as
      follows:

                 

                7.         Future
      Services and Compensation

                 

                A.        
      Executive shall receive the benefits provided for in Section 7B if, in
      connection with the occurrence of a Payment Event, Executive
      agrees:

                 

                (1)      
      To refrain from entering into competition with the Company or from working
      for a competitor of the Company for a period of one year following the
      date on which the Payment Event occurs, and

                 

                (2)      
      To provide such consulting services as may be reasonably requested by the
      Company for a period of one year following the date on which the Payment
      Event occurs.

                 

                B.       
      As compensation to the Executive for his promises in Section 7A. hereof,
      the Company agrees to cause the following actions to be carried
      out:

                 

                (1)      
      As respects the status of the Executive as a participant in the Company’s
      Officers’ Supplemental Retirement and Deferred Compensation Plan as
      amended and restated effective January 1, 2005 (the “2005 SERP”), the
      payment of the benefit provided for under Section 3.4 of the 2005 SERP and
      at the time provided therein except that the  last two sentences
      of Section 3.4(b) of the 2005 SERP (pertaining to the Executive’s and
      the  Company’s ability to alter the method and/or time for such
      payment) shall be inapplicable and without effect for all
      purposes.

                 

                Section
      8 of the Agreement shall be amended to include the following new Section
      8I:

                 

                I.         
      Notwithstanding any provision of this Section 8 to the contrary, in the
      event Executive is entitled to a Gross-Up Payment as otherwise provided
      for under Section 8, no such Gross-Up Payment shall be made to Executive
      before the first business day of the seventh month following the
      Termination Date.

              

      

       

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

       

      
        	
                New
      Section 14 of the Agreement shall be added to read as
follows:

                 

                14.       Compliance
      with Code Section 409A.

                 

                The
      parties intend that this Agreement shall at all times comply with the
      requirements of Code Section 409A.  Accordingly the parties
      agree that it shall be construed, administered and governed in a manner
      that effects such intent.  Although Company shall use its best
      efforts to avoid the imposition of taxation, interest and penalties under
      Code Section 409A, the tax treatment of the benefits provided under this
      Agreement is not warranted or guaranteed. Neither Company, its
      subsidiaries nor their respective directors, officers, employees or
      advisors shall be held liable for any taxes, interest, penalties or other
      monetary amounts owed by Executive or other taxpayer as a result of the
      Agreement.

                 

                Except
      as hereby amended, the Agreement shall remain unchanged and in full force
      in effect until April 5, 2009.

                 

                Dated
      at Rutland, Vermont this ______ day of May,
  2008.

              

      

       

      
        	
                 

                 

                 

                 

                ________________________

                Witness

              	
                CENTRAL
      VERMONT PUBLIC

                SERVICE
      CORPORATION

                 

                 

                By  ____________________________

                For
      the Company

                 

              
	
                 

                 

                ________________________

                Witness

              	
                 

                 

                ______________________________

                Executive

              

      

       

      
        
           

        

        
          4exa1052.htm

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      	
              EXHIBIT
      A 10.5.2

               

            
	
              FORM
      OF CHANGE IN CONTROL AGREEMENT

               

              THIS CHANGE IN
      CONTROL AGREEMENT with an effective date of
      ___________  (this “Agreement”), is made by and between Central
      Vermont Public Service Corporation (“Company”), and ___________________
      (“Executive”).

               

              WHEREAS,
      the Board of Directors of Company (the “Board”) recognizes that the
      possibility of a Change in Control (as hereinafter defined) of Company
      exists and that such possibility, and the uncertainty it may cause, may
      result in the departure or distraction of key management employees of
      Company or of a Subsidiary (as hereinafter defined) to the detriment of
      Company and its stockholders;

               

              WHEREAS,
      Executive is a key management employee of Company or of a
      Subsidiary;

               

              WHEREAS,
      the Board has determined that Company should encourage the continued
      employment of Executive and the continued dedication of Executive to his
      assigned duties without distraction as a result of the circumstances
      arising from the possibility of a Change in Control;

               

              WHEREAS,
      the Company and Executive are parties to the Change in Control Agreement
      dated as of _______________ (the “Original
Agreement”);

               

              WHEREAS,
      the American Jobs Creation Act of 2004 included new statutory rules under
      Section 409A of the Internal Revenue Code of 1986, as amended (“Code”)
      that substantially altered the income tax treatment of compensation that
      is regarded, under those rules, as deferred pursuant to a nonqualified
      deferred compensation plan;

               

              WHEREAS,
      under Section 409A, unless certain limitations on payment and other
      requirements are provided for in a deferred compensation plan,
      participants may be subject to regular income tax on amounts payable
      pursuant to such deferred compensation plan before payments are made as
      well as to a 20% excise tax;

               

              WHEREAS,
      the Original Agreement is subject to the requirements of Section
      409A;

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    
      	
              WHEREAS,
      the Original Agreement will, in accordance with its terms, terminate on
      April 5, 2009; and

               

              WHEREAS,
      the Company and Executive desire to enter into a new change in control
      agreement that complies with the requirements of Section 409A and
      incorporates other important changes to the terms of the Original
      Agreement, and to have such new agreement take effect on April 6,
      2009.

               

              NOW
      THEREFORE, in consideration of the premises and the mutual
      covenants herein contained, Company and Executive hereby agree as
      follows:

               

              1.    Defined
      Terms.  For purposes of this Agreement, the following
      terms shall have the meanings indicated below:

               

              “Annual
      Incentive Plan” shall mean the Central
      Vermont Public Service Corporation Management
      Incentive Plan, and any one or more other formalized plans, if any,
      in which Executive is or may become eligible to participate providing
      incentive compensation payable in cash to eligible participants determined
      on the basis of a measuring period not in excess of 12 calendar months,
      but shall expressly exclude, without limitation, the Central
      Vermont Public Service Corporation Performance
      Share Incentive Plan (the “Performance Share Plan”), the
      Central
      Vermont Public Service Corporation Officers’ Supplemental Retirement and
      Deferred Compensation Plan, the Deferred
      Compensation Plan for Officers and Directors of Central Vermont Public
      Service Corporation, the Central
      Vermont Public Service Corporation Omnibus Stock
      Plan, and any plan qualified or intended to be qualified under Code
      Section 401(a) and any amendment or restatement of, or successor plan to,
      any of the foregoing plans in effect from time to time, and any executive
      fringe benefits.

               

              “Annual
      Incentive Target” shall mean with respect to any measuring period,
      the amount of cash compensation that would be payable to Executive under
      the Annual Incentive Plan for such measuring period, computed assuming
      that the target level of performance has been achieved with respect to a
      performance goal identified in accordance with the terms of the Annual
      Incentive Plan.

            

    

     

     

    
      
         

      

      
        - 2
-

        
          

        

      

      
         

      

    

     

    
      	
              “Board”
      shall have the meaning provided for in the first whereas clause
      above, however, it shall include, unless specifically stated otherwise,
      any committee of the Board to which the Board has delegated authority to
      act on its behalf.

               

              “Cause”
      for termination by Company of Executive’s employment shall
      mean:

               

              (i) the
      willful failure by Executive substantially to perform Executive’s duties
      with Company or a Subsidiary, (other than any failure resulting from
      Executive’s incapacity due to Executive’s Disability, or any actual
      failure after the issuance of a Notice of Termination for Good Reason by
      Executive in accordance with paragraph (A) of Section 8)) that continues
      for at least 30 calendar days after the Board delivers to Executive a
      written demand for performance that identifies specifically and in detail
      the manner in which the Board believes that Executive willfully has failed
      substantially to perform Executive’s duties,

               

              (ii)
      a conviction, guilty plea or plea of nolo contendere of Executive for any
      felony,

               

              (iii)
      the willful engaging by Executive in misconduct that is demonstrably and
      materially injurious to Company or any Subsidiary, monetarily or
      otherwise,

               

              (iv)
      a material violation by Executive of the corporate governance guidelines
      and code of ethics of Company or any Subsidiary;

               

              (v)
      a material violation by Executive of the requirements of the
      Sarbanes-Oxley Act of 2002 or other federal or state securities law, rule
      or regulation, or

               

              (vi)
      a material breach by Executive of any of the restrictive covenants
      contained in Section 9.

               

              For
      purposes of this definition, no act, or failure to act, on Executive’s
      part shall be deemed “willful” unless done, or omitted to be done, by
      Executive not in good faith and without reasonable belief that Executive’s
      act, or failure to act, was in the best interest of Company and its
      Subsidiaries.

               

              “Change in
      Control” shall mean, if at any time subsequent to the date of this
      Agreement, any of the following events shall have
      occurred:

               

              (i)
      The acquisition by any individual, entity or “group,” within the meaning
      of Section 13(d)(3) of the Exchange Act (a “Person”), of beneficial
      ownership (within the meaning of Rule 13d-3 promulgated under the Exchange
      Act) of voting securities of Company representing 20% or more of the
      combined voting power of the then outstanding voting securities of Company
      entitled to vote generally in the election of directors (the “Outstanding
      Voting Securities”);

            

    

    
      
         

      

      
        - 3
-

        
          

        

      

      
         

      

    

     

    
      	
              (ii)
      Individuals who, as of the date hereof, constitute the Board (the
      “Incumbent Board”) cease for any reason to constitute at least two-thirds
      of the Board; provided,
      however,
      that any individual becoming a director subsequent to the date hereof
      whose election, or nomination for election by Company’s stockholders, was
      approved by a vote of at least two-thirds of the directors then comprising
      the Incumbent Board shall be considered as though such individual were a
      member of the Incumbent Board, but excluding, for this purpose, any such
      individual whose initial assumption of office occurs as a result of an
      actual or threatened election contest with respect to the election or
      removal of directors or other actual or threatened solicitation of proxies
      or consents by or on behalf of a person other than the Board;

               

              (iii)
      The consummation of a reorganization, merger or consolidation or sale or
      other disposition of more than 50% of the assets of Company (a “Capital
      Transaction”), in each case, unless, following such Capital Transaction ,
      all or substantially all of the individuals and entities who were the
      beneficial owners, respectively, of the Outstanding Voting Securities
      immediately prior to such Capital Transaction beneficially own, directly
      or indirectly, at least 60% of the combined voting power of the then
      outstanding voting securities entitled to vote generally in the election
      of directors, as the case may be, of the corporation resulting from such
      Capital Transaction (including, without limitation, a corporation which as
      a result of such transaction owns Company or all or substantially all of
      Company’s assets either directly or through one or more subsidiaries), in
      substantially the same proportions as their ownership, immediately prior
      to such Capital Transaction of the Outstanding Voting Securities;
      or

               

              (iv)
      Approval by the stockholders of Company of a complete liquidation or
      dissolution of Company.

               

              “Company”
      shall mean Central Vermont Public Service Corporation and any successor to
      its business or assets, by operation of law or
      otherwise.

               

              “Date of
      Termination” shall have the meaning provided for in paragraph (B)
      of Section 8 hereof.

               

              “Disability”
      shall be deemed the reason for the termination by Company
      of  Executive’s employment, if, as a result of Executive’s
      incapacity due to physical or mental illness, Executive shall have been
      absent from the full-time performance of Executive’s duties with Company
      or a Subsidiary for a period of six consecutive months, Company shall have
      given Executive a Notice of Termination for Disability, and, within 30
      business days after the Notice of Termination is given, Executive shall
      not have returned to the full-time performance of Executive’s
      duties.

               

              “Exchange
      Act” shall mean the Securities Exchange Act of 1934, as
      amended.

               

              “Executive”
      shall mean the individual named in the first paragraph of this
      Agreement.

            

    

     

     

    
      
         

      

      
        - 4
-

        
          

        

      

      
         

      

    

     

    
      	
              “Good
      Reason” for termination by Executive of Executive’s employment
      shall mean the occurrence, without Executive’s express written consent, of
      any one of the following:

               

              (i) the
      assignment to Executive of any duties inconsistent with Executive’s status
      as an executive officer of Company or of a Subsidiary or a substantial
      adverse alteration in the nature or status of Executive’s responsibilities
      from those in effect immediately prior to the Change in Control, excluding
      for this purpose an isolated and inadvertent action by Company or a
      Subsidiary not taken in bad faith and which is remedied by Company or
      Subsidiary within 10 days after receipt of notice thereof given by the
      Executive and further provided that neither mere changes in title and/or
      reporting relationship nor reassignment following a Change in Control to a
      position that is substantially similar to the position held immediately
      prior to the Change in Control shall constitute a substantial adverse
      alteration in the nature or status of Executive’s responsibilities from
      those in effect immediately prior to the Change in
      Control;

               

              (ii)
      a reduction by Company in Executive’s annual base salary to any amount
      that is less than 90% of Executive’s annual base salary as in effect
      immediately prior to the Change in Control;

               

              (iii)
      the failure by Company (x) to continue in effect any compensation plan in
      which Executive participates immediately prior to the Change in Control
      that is material to  Executive’s total compensation, including
      but not limited to, stock option, restricted stock, long-term and
      short-term incentive compensation, bonus, and other plans; unless an
      equitable alternative arrangement embodied in an ongoing substitute or
      alternative plan has been made, or (y) to continue Executive’s
      participation therein (or in a substitute or alternative plan) on a basis
      not materially less favorable, both in terms of the amount of compensation
      provided and the level of Executive’s participation relative to other
      participants, than existed immediately prior to the Change in
      Control;

               

              (iv)
      the relocation of the principal executive offices of Company to a location
      more than 75 miles from the location of such offices immediately prior to
      the Change in Control or Company’s requiring Executive to be based
      anywhere other than the principal executive offices of Company, or in the
      case that Executive was not based at the principal executive offices of
      Company immediately prior to the Change in Control, to a location more
      than 75 miles from the location where Executive was based immediately
      prior to the Change in Control, except for required business travel to an
      extent substantially consistent with Executive’s business travel
      obligations immediately prior to the Change in Control;

               

              (v)
      the termination of Executive’s employment for any reason during the 30-day
      period commencing on the first anniversary of the Change in Control if, on
      the first anniversary of the Change in Control, a majority of the
      Company’s (or if the Company’s shares are not publicly traded, the
      Company’s ultimate parent whose shares are publicly traded) board of
      directors were not members of the Board immediately prior to the Change in
      Control (a “Voluntary Termination
Event”);

            

    

     

     

    
      
         

      

      
        - 5
-

        
          

        

      

      
         

      

    

     

    
      	
              (vi)
      the failure by Company to pay to Executive any material portion of
      Executive’s current or deferred compensation under any deferred
      compensation program of Company, within 5 business days after the date the
      compensation is due (taking into account applicable restrictions under
      Section 409A) or to pay or reimburse Executive for any expenses incurred
      by him for required business travel;

               

              (vii)
      the failure by Company to continue to provide Executive with substantially
      the same benefits enjoyed by Executive under any of Company’s pension,
      profit-sharing, life insurance, medical, health and accident, disability,
      or other employee benefit plans in which Executive was participating
      immediately prior to the Change in Control; the failure by Company to
      continue to provide Executive any material fringe benefit or perquisite
      enjoyed by Executive immediately prior to the Change in Control; or the
      failure by Company to provide Executive with the number of paid vacation
      days to which Executive is entitled in accordance with Company’s normal
      vacation policy in effect immediately prior to the Change in Control;
      or

               

              (viii)
      any failure by Company to comply with and satisfy Section 13(A)
      (concerning a successor’s assumption of Company’s obligations hereunder),
      other than a failure not occurring in bad faith and which is remedied by
      Company promptly after receipt of notice thereof given by
      Executive.

               

              For
      purposes of this definition of “Good Reason,” the terms “material” and
      “materially” and phrase “substantially the same” are intended to be
      satisfied where the value of the benefit or benefits that are provided
      after a Change in Control equal or exceed 90% of the value of the
      comparable benefit or benefits immediately before the Change in
      Control.

               

              Gross-up
      Amount means the amount determined by multiplying the taxable
      benefit by a fraction where the numerator is one and the denominator is
      one  minus the applicable tax rate.  The applicable
      tax rate shall be the sum of (i) the highest federal individual income tax
      rate (currently 35%), plus (ii) 60% of the highest applicable state
      individual income tax rate (if any), in each case for the calendar year in
      which Executive receives a taxable benefit.

               

              “Non-Interference/Assistance
      Period” shall mean the period commencing with the Termination Date
      and ending on the first anniversary of the Termination
      Date.

               

              “Notice of
      Termination” shall have the meaning stated in paragraph (A) of
      Section 8 hereof.

               

              “Payment
      Period” shall mean the 3-year period following the date on which a
      Change in Control is
consummated.

            

    

     

     

    
      
         

      

      
        - 6
-

        
          

        

      

      
         

      

    

     

    
      	
              “Payment
      Trigger” shall mean the occurrence of a Change in Control during
      the term of this Agreement coincident with or followed at any time before
      the end of the Payment Period by the termination of Executive’s employment
      with Company or a Subsidiary in a manner that constitutes a “separation
      from service”, as defined in Section 409A, for any reason other than (i)
      by Executive without Good Reason, (ii) by Company as a result of the
      Disability of Executive or with Cause or, (iii) as a result of the death
      of Executive.

               

              “Section
      409A” shall mean Code Section 409A and any proposed, temporary or
      final regulations, or any other guidance, promulgated with respect to such
      Section 409A by the U.S. Department of Treasury or the Internal Revenue
      Service.

               

              “Subsidiary”
      shall mean any corporation or other entity or enterprise, whether
      incorporated or unincorporated, of which at least a majority of the
      securities or other interests having by their terms ordinary voting power
      to elect a majority of the board of directors or others serving similar
      functions with respect to such corporation or other entity or enterprise
      is owned by Company or other entity or enterprise of which Company
      directly or indirectly owns securities or other interests having all the
      voting power.

               

              “Termination
      Date” shall have the meaning provided for in paragraph (B) of
      Section 8 hereof.

               

              2.         Term
      of Agreement.

               

              (A)  In
      General.  This Agreement shall become effective on the
      date hereof and shall continue in effect for a period of 3 years provided
      that if the Executive shall die or a Termination Date shall occur prior to
      a Change in Control, this Agreement shall terminate on the earlier of the
      date of Executive’s death or the Termination Date.

               

              (B)  Extension
      of Term.  Notwithstanding Section 2(A), the term of the
      Agreement shall continue if, prior to the third anniversary of the date of
      this Agreement, a Change in Control (i) is eminent, or (ii) has
      occurred.  In the case of (i) or (ii), the term of the Agreement
      shall be extended until either (x) the expiration of the 3-year Payment
      Period within which a Payment Trigger does not occur, or (y) if a Payment
      Trigger does occur within the 3-year Payment Period, the date on which the
      Company has performed all of its obligations and liabilities under
      this

            

    

     

     

    
      
         

      

      
        - 7
-

        
          

        

      

      
         

      

    

     

    
      	
              Agreement.  For
      this purpose, a Change in Control shall be regarded as eminent if it is
      reasonably likely to occur within 6 months following the expiration date
      provided for the Agreement in Section 2(A).  If the anticipated
      Change in Control does not occur within such 6-month period, the Agreement
      shall expire at the conclusion of the 6-month period unless extended by
      mutual agreement of the parties.

               

              3.         General
      Provisions.

               

              (A)  Representations
      of Company.  Company hereby represents and warrants to
      Executive that the execution and delivery of this Agreement and the
      performance by Company of the actions contemplated hereby have been duly
      authorized by all necessary corporate action on the part of Company; this
      Agreement is a legal, valid and legally binding obligation of Company
      enforceable in accordance with its terms; and neither the execution or
      delivery of this Agreement nor the consummation by Company of the actions
      contemplated hereby (i) will violate any provision of the certificate of
      incorporation or bylaws (or other charter documents) of Company, (ii) will
      violate or be in conflict with any applicable law or any judgment, decree,
      injunction or order of any court or governmental agency or authority, or
      (iii) will violate or conflict with or constitute a default (or an event
      of which, with notice or lapse of time or both, would constitute a
      default) under or will result in the termination of, accelerate the
      performance required by, or result in the creation of any lien, security
      interest, charge or encumbrance upon any of the assets or properties of
      Company under, any term or provision of the certificate of incorporation
      or bylaws (or other charter documents) of Company or of any contract,
      commitment, understanding, arrangement, agreement or restriction of any
      kind or character to which Company is a party or by which Company or any
      of its properties or assets may be bound or affected.

               

              (B)  Conditions
      Precedent to Payment.  No amount or benefit shall be
      payable under this Agreement unless there shall have occurred a Payment
      Trigger during the term of this Agreement.  In no event shall
      payments in accordance with this Agreement be made in respect of more than
      one Payment Trigger.

            

    

     

     

    
      
         

      

      
        - 8
-

        
          

        

      

      
         

      

    

     

    
      	
              (C)  No
      Contract of Employment.  This Agreement shall not be
      construed as creating an express or implied contract of employment and,
      except as otherwise agreed in writing between Executive and Company,
      Executive shall not have any right to be retained in the employ of Company
      or of a Subsidiary. Notwithstanding the immediately preceding sentence or
      any other provision of this Agreement, no purported termination of
      Executive’s employment that is not effected in accordance with a Notice of
      Termination satisfying paragraph (A) of Section 8 shall be effective for
      purposes of this Agreement. Executive’s right, following the occurrence of
      a Change in Control, to terminate his employment under this Agreement for
      Good Reason shall not be affected by Executive’s Disability or incapacity.
      Executive’s continued employment shall not constitute consent to, or a
      waiver of rights with respect to, any act or failure to act constituting
      Good Reason under this Agreement.

               

              4.         Payments
      Due Upon a Payment Trigger.  Upon the occurrence of a
      Payment Trigger during the term of this Agreement, Executive shall receive
      payments from the Company,  or distributions from plans
      maintained by the company, as provided for in this Section 4.

               

              (A)  Accrued
      Compensation.  Company shall pay to Executive the
      following amounts in a lump sum within 30 days following the Termination
      Date:

               

              (i)
      Executive’s annual base salary through the Termination Date to the extent
      not theretofore paid;

               

              (ii) the amount of any incentive compensation that
      has been allocated or awarded to Executive for a completed fiscal year or
      other completed measuring period preceding or coinciding with the
      occurrence of the Termination Date under any incentive compensation plan
      that is due and payable at such time under the terms of such plan but has
      not yet been paid to Executive; and

               

              (iii) any accrued vacation pay to the extent not
      theretofore paid.

               

              (B)  Long-Term
      and Short-Term Incentive Compensation.  With regard to
      any long-term or short-term incentive compensation plan in which Executive
      is a participant, including by way of example and not limitation, the Performance
      Share Plan and the Annual Incentive Plan, Company shall pay the pro rata
      portion of the award that would have been paid had Executive’s Termination
      Date not occurred prior to the completion of the relevant fiscal year or
      other measuring period.  In each case, the pro rata portion
      shall be calculated on a daily basis unless the underlying incentive
      compensation arrangement specifies a different method for the pro ration
      of the benefit.    The amount of the award shall be
      calculated on the assumption that performance is at target levels unless
      Code

            

    

     

     

    
      
         

      

      
        - 9
-

        
          

        

      

      
         

      

    

     

    
      	
              Section
      162(m) requires that it be based on the lesser of actual performance or
      target.  Payments and/or awards shall be made on the first to
      occur of (i) the payment/award date specified in the applicable plan or
      (ii) within the 30-day period commencing on the 60th
      day following the Termination Date unless a later date is required by (x)
      Section 7 (relating to Section 409A) or (y) Code Section
      162(m).

               

              (C)  Severance
      Compensation.  Company shall pay to Executive in a lump
      sum in cash within the 30-day period commencing on the 60th
      day following the Termination Date, or within such later period as
      required by Section 7 (relating to Section 409A), an amount equal to the
      product of: (i) [2.0
      to 2.99] multiplied by, (ii) the sum of (x) the higher of
      Executive’s annual base salary in effect immediately prior to the
      occurrence of the Change in Control or Executive’s annual base salary in
      effect immediately prior to the Payment Trigger, plus (y) the higher of
      Executive’s Annual Incentive Target in effect immediately prior to the
      occurrence of the Change in Control or Executive’s Annual Incentive Target
      in effect immediately prior to the Payment Trigger.

               

              (D)  Healthcare.  Provided
      that Executive fulfills his or her obligations and responsibilities and
      satisfies the conditions set forth in Sections 9 and 10, Company shall pay
      to Executive in a lump sum in cash within 10 days of the conclusion of the
      Non-Interference/Assistance Period, an amount equal to (x) the product of
      (i) Executive’s monthly premium for health and dental insurance
      continuation coverage for Executive and Executive’s family under the
      Consolidated Omnibus Budget Reconciliation Act of 1985 (the “COBRA
      Premium”), based on the monthly COBRA Premium for such coverage in effect
      on the Termination Date, multiplied by (ii) [24 to
      36] months, plus (y) the Gross-Up Amount on the benefit determined
      under (x).  During the Non-Interference/Assistance Period,
      Executive shall be solely responsible for obtaining and maintaining
      Executive’s healthcare insurance.

               

              (E)  Life
      Insurance.  Company shall continue to provide Executive
      with any life insurance provided immediately before the Termination Date
      for the [24 to
      36] month period following the Termination
Date.

               

              (F)  Outplacement
      Services.  Company shall, at its sole expense as
      incurred, provide Executive with outplacement services from a nationally
      recognized outplacement service provider, the scope of which shall be
      selected by Executive within parameters established
    by

            

    

    
      
         

      

      
        - 10
-

        
          

        

      

      
         

      

    

     

    
      	
              Company,
      provided that (i) the cost to Company shall not exceed $15,000, and (ii)
      in no event shall the period during which the outplacement service
      expenses are incurred or the period during which the expenses are paid,
      extend beyond the end of the calendar year that begins after the calendar
      year within which occurs Executive’s Termination Date.  Company
      shall also calculate and pay to Executive the Gross-up Amount with respect
      to the taxable portion of such outplacement services.

               

              (G)  SERP
      Enhancement.  Provided that (i) Executive is a
      participant in the Central
      Vermont Public Service Corporation Officers’ Supplemental Retirement and
      Deferred Compensation Plan, as amended and restated effective
      January 1, 2008 (the “SERP’) and otherwise entitled to a benefit
      thereunder, and (ii) Executive fulfills his or her obligations and
      responsibilities and satisfies the conditions set forth in Sections 9 and
      10 of this Agreement,  Executive benefit under the SERP shall be
      recalculated to be the greater of the amount described in paragraph (x) or
      (y) below:

               

              (x)  The benefit provided for in Section
      3.1(a) of the SERP with such benefit being determined for purposes of
      Section 3.1(a)(i) of the SERP as if the Participant had earned [2 to
      3] additional years of benefit accruals under the Pension Plan
      of Central Vermont Public Service Corporation and Its Subsidiaries,
      as in effect from time to time (the “Basic Plan”) and assuming Executive’s
      compensation under the Basic Plan for such [2 to
      3]-year period is equal to Executive’s compensation for the Plan
      Year immediately preceding the Plan Year in which the Change in Control
      occurs.

               

              (y)  In the case of an Executive who was
      a participant of the SERP on December 31, 1997, and was age 50 or older
      upon the Change in Control, the benefit described in Section 3.1(b) of the
      SERP, without regard to the age and service requirements of Section III(a)
      of Appendix A thereof.

               

              (H)  Other
      Vested Benefits.  To the extent not theretofore paid or
      provided, Company shall pay to Executive all vested benefits or other
      amounts that Executive is otherwise entitled to receive under any plan,
      policy, practice or program of or any contract or agreement with Company
      or any of its Subsidiaries at or subsequent to the Termination Date in
      accordance with such plan, policy, practice or program or contract or
      agreement except as explicitly modified
  by

            

    

    
      
         

      

      
        - 11
-

        
          

        

      

      
         

      

    

     

    
      	
              this
      Agreement; provided,
      however, if
      Executive receives the payments and benefits in accordance with paragraphs
      (B), (C), (D),(E), (F) and (G) of this Section 4, Executive shall not, in
      order to avoid any duplication of benefit, be entitled to any severance
      pay or benefits under any severance plan, program or policy of Company or
      its Subsidiaries, unless otherwise specifically provided therein in a
      specific reference to this Agreement.

               

              5.         Release.  Notwithstanding
      anything contained herein to the contrary, Company shall only be obligated
      to pay or provide a benefit under paragraphs (B), (C), (D), (E), (F)and
      (G) of Section 4 and Section 6 if: (i) within the 50-day period after the
      Termination Date Executive first executes a release substantially in the
      form attached hereto as  Exhibit A ; and (ii) Executive does not
      revoke the release during the 7-day revocation period prescribed by the
      Age Discrimination in Employment Act of 1967, as amended, or any similar
      revocation period, if applicable.

               

              6.         Gross-Up
      Payments.

               

              (A)  In the event that this Agreement
      shall become operative and it shall be determined (as hereafter provided)
      that any payment (other than the Gross-Up payments provided for in this
      Section 6) or distribution by the Company or any of its subsidiaries to or
      for the benefit of Executive, whether paid or payable or distributed or
      distributable pursuant to the terms of this Agreement or otherwise (each
      of the foregoing a “Payment”), would be subject to the excise tax imposed
      by Code Section 4999 by reason of being considered “contingent on a change
      in ownership or control” of the Company, within the meaning of Code
      Section 280G or to any similar tax imposed by state or local law, or any
      interest or penalties with respect to such tax (such tax or taxes,
      together with any such interest and penalties, being hereafter
      collectively referred to as the “Excise Tax”), Executive shall be entitled
      to receive an additional payment or payments from the Company
      (collectively, a “Gross-Up Payment”).  The Gross-Up Payment
      shall be in an amount such that, after payment by Executive of all taxes
      (including any interest or penalties imposed with respect to such taxes),
      including any Excise Tax and any income tax imposed upon the Gross-Up
      Payment, Executive shall retain an amount of Gross-Up Payment equal to the
      Excise Tax imposed upon the
Payment.

            

    

     

     

    
      
         

      

      
        - 12
-

        
          

        

      

      
         

      

    

     

    
      	
              (B)  Subject to the provisions of
      Section 6(F), all determinations required to be made under this Section 6,
      including whether an Excise Tax is payable by Executive and the amount of
      such Excise Tax and whether a Gross-Up Payment is required to be paid by
      the Company to Executive and the amount of such Gross-Up Payment, if any,
      shall be made by the Company’s external accounting firm, Deloitte Touche
      or any successor entity or by such other nationally recognized accounting
      firm (the “Accounting Firm”) selected by Executive with the consent of the
      Company, which consent will not be unreasonably
      withheld.  Executive shall direct the Accounting Firm to submit
      its determination and detailed supporting calculations to both the Company
      and Executive within 45 calendar days after the occurrence of a Payment
      Trigger, and any such other time or times as may be requested by the
      Company or Executive.  If the Accounting Firm determines that
      any Excise Tax is payable by Executive, the Company shall pay the required
      Gross-Up Payment to Executive within 15 business days after receipt of
      such determination and calculations with respect to any Payment to
      Executive.  If the Accounting Firm determines that no Excise Tax
      is payable by Executive, it shall, at the same time as it makes such
      determination, furnish the Company and Executive an opinion that Executive
      has substantial authority not to report any Excise Tax on his federal,
      state or local income or other tax return.  As a result of the
      uncertainty in the application of Code Section 4999 and the possibility of
      similar uncertainty regarding applicable state or local tax law at the
      time of any determination by the Accounting Firm hereunder, it is possible
      that a Gross-Up Payment which will not have been made by the Company
      should have been made (an “Underpayment’), consistent with the
      calculations required to be made hereunder.  In the event that
      the Company exhausts or fails to pursue its remedies pursuant to Section
      6(F) and Executive thereafter is required to make a payment of any Excise
      Tax, Executive shall direct the Accounting Firm to determine the amount of
      the Underpayment that has occurred and to submit its determination and
      detailed supporting calculations to both the Company and Executive as
      promptly as possible.  Any such Underpayment shall be promptly
      paid by the Company to, or for the benefit of, Executive within 15
      business days after the receipt of such determination and
      calculations.

               

              (C)  The Company and Executive shall
      each provide the Accounting Firm access to and copies of any books,
      records and documents in the possession of the Company or Executive, as
      the case may be, reasonably requested by the Accounting Firm, and
      otherwise cooperate with the Accounting Firm in connection with the
      preparation and issuance of the determinations
  and

            

    

     

     

    
      
         

      

      
        - 13
-

        
          

        

      

      
         

      

    

     

    
      	
              calculations
      contemplated by Section 6(B).  Any determination by the
      Accounting Firm as to the amount of the Gross-Up Payment shall be binding
      upon the Company and Executive.

               

              (D)  The federal, state and local income
      or other tax returns filed by Executive shall be prepared and filed on a
      consistent basis with the determination of the Accounting Firm with
      respect to the Excise Tax payable by Executive.  Executive shall
      make proper payment of the amount of any Excise Payment, and at the
      request of the Company, provide to the Company true and correct copies
      (with any amendments) of his federal income tax return as filed with the
      Internal Revenue Service and corresponding state and local tax returns, if
      relevant, as filed with the applicable taxing authority, and such other
      documents reasonably requested by the Company, evidencing such
      payment.  If prior to the filing of Executive’s federal income
      tax return, or corresponding state or local tax return, if relevant, the
      Accounting Firm determines that the amount of the Gross-Up Payment should
      be reduced, Executive shall within 15 business days pay to the Company the
      amount of such reduction.

               

              (E)  The fees and expenses of the
      Accounting Firm for its services in connection with the determinations and
      calculations contemplated by Section 6(B) shall be borne by the Company.
      If such fees and expenses are initially paid by Executive, the Company
      shall reimburse Executive the full amount of such fees and expenses within
      15 business days after receipt from Executive of a statement thereof and
      reasonable evidence of his payment thereof.

               

              (F)  Executive shall notify the Company
      in writing of any claim, by the Internal Revenue Service or any other
      taxing authority that, if successful, would require the payment by the
      Company of a Gross-Up Payment or any additional Gross-Up Payment. Such
      notification shall be given as promptly as practicable but no later than
      l0 business days after Executive actually receives notice of such claim
      and Executive shall further apprise the Company of the nature of such
      claim and the date on which such claim is requested to be paid (in each
      case, to the extent known by Executive). Executive shall not pay such
      claim prior to the earlier of (x) the expiration of the 30-calendar-day
      period following the date on which he gives such notice to the Company and
      (y) the date that any payment or amount with respect to such claim is due.
      If the Company notifies Executive in writing prior to the expiration of
      such period that it desires to contest such claim, Executive
      shall:

            

    

     

     

    
      
         

      

      
        - 14
-

        
          

        

      

      
         

      

    

     

    
      	
              (i)
      provide the Company with any written records or documents in his
      possession relating to such claim reasonably requested by the
      Company;

               

              (ii) take such action in connection with
      contesting such claim as the Company shall reasonably request in writing
      from time to time, including without limitation accepting legal
      representation with respect to such claim by an attorney competent in
      respect of the subject matter and reasonably selected by the
      Company;

               

              (iii) cooperate with the Company in good faith in
      order to effectively contest such claim; and

               

              (iv) permit the Company to participate in any
      proceedings relating to such claim; provided,
      however,
      that the Company shall bear and pay directly all costs and expenses
      (including interest and penalties) incurred in connection with such
      contest and shall indemnify and hold harmless Executive, on an after-tax
      basis, for and against any Excise Tax or income tax, including interest
      and penalties with respect thereto, imposed as a result of such contest
      and payment of costs and expenses. Without limiting the foregoing
      provisions of this Section 6(F), the Company shall control all proceedings
      taken in connection with the contest of any claim contemplated by this
      Section 6(F) and, at its sole option, may pursue or forego any and all
      administrative appeals, proceedings, hearings and conferences with the
      taxing authority in respect of such claim (provided,
      however,
      that Executive may participate therein at his own cost and expense) and
      may, at its option, either direct Executive to pay the tax claimed and sue
      for a refund or contest the claim in any permissible manner, and Executive
      agrees to prosecute such contest to a determination before any
      administrative tribunal, in a court of initial jurisdiction and in one or
      more appellate courts, as the Company shall determine; provided,
      however,
      that if the Company directs Executive to pay the tax claimed and sue for a
      refund, the Company shall advance the amount of such payment to Executive
      on an interest-free basis and shall indemnify and hold Executive harmless,
      on an after-tax basis, from any Excise Tax or income or other tax,
      including interest or penalties with respect thereto, imposed with respect
      to such advance; and provided
      further,
      however,
      that any extension of the statute of limitations relating to payment of
      taxes for the taxable year of Executive with respect to which the
      contested amount is claimed to be due is limited solely to such contested
      amount. Furthermore, the Company's control of any such contested claim
      shall be limited to issues with respect to which a Gross-Up Payment would
      be payable hereunder and Executive shall be entitled to settle or contest,
      as the case may be, any other issue raised by the Internal Revenue Service
      or any other taxing authority.

               

              (G)  If, after the receipt by Executive
      of an amount advanced by the Company pursuant to Section 6(F), Executive
      receives any refund with respect to such claim, Executive shall (subject
      to the Company’s complying with the requirements of Section 6(F)) pay to
      the Company the amount of such refund (together with any interest paid or
      credited thereon after any taxes applicable thereto) within 15 business
      days of Executive’s receipt of such refund.  If, after the
      receipt by Executive of an amount advanced by the Company pursuant to
      Section 6(F), a

            

    

     

     

    
      
         

      

      
        - 15
-

        
          

        

      

      
         

      

    

     

    
      	
              determination
      is made that Executive shall not be entitled to any refund with respect to
      such claim and the Company does not notify Executive in writing of its
      intent to contest such denial or refund prior to the expiration of 30
      calendar days after such determination, then such advance shall be
      forgiven and shall not be required to be repaid and the amount of any such
      advance shall offset, to the extent thereof, the amount of Gross-Up
      Payment required to be paid by the Company to Executive pursuant to this
      Section 6.

               

              (H)  Notwithstanding any provision of
      this Agreement to the contrary, if (i) but for this sentence, the Company
      would be obligated to make a Gross-Up Payment to Executive, and (ii)
      either (a) the aggregate "present value" of the "parachute payments" to be
      paid or provided to Executive under this Agreement or otherwise does not
      exceed 1.10 multiplied by three times Executive's "base amount," or (b)
      Executive's termination of employment constitutes a Voluntary Termination
      Event, then the payments and benefits to be paid or provided under this
      Agreement will be reduced to the minimum extent necessary (but in no event
      to less than zero) so that no portion of any payment or benefit to
      Executive, as so reduced, constitutes an "excess parachute payment." For
      purposes of this Section 6(H), the terms "excess parachute payment,"
      "present value," "parachute payment," and "base amount" will have the
      meanings assigned to them by Section 280G of the Code. The determination
      of whether any reduction in such payments or benefits to be provided under
      this Agreement is required pursuant to the preceding sentence will be made
      at the expense of the Company, if requested by Executive or the Company,
      by the Accounting Firm. The fact that Executive's right to payments or
      benefits may be reduced by reason of the limitations contained in this
      Section 6(H) will not of itself limit or otherwise affect any other rights
      of Executive other than pursuant to this Agreement. In the event that any
      payment or benefit intended to be provided under this Agreement or
      otherwise is required to be reduced pursuant to this Section 6(H),
      Executive will be entitled to designate the payments and/or benefits to be
      so reduced in order to give effect to this Section 6(H).  The
      Company will provide Executive with all information reasonably requested
      by Executive to permit Executive to make such designation. In the event
      that Executive fails to make such designation within l0 business days of
      the Termination Date, the Company may effect such reduction in any manner
      it deems appropriate.

               

              7.         Compliance
      with Section 409A.

               

            

    

    
      
         

      

      
        - 16
-

        
          

        

      

      
         

      

    

     

    
      	
              (A)  Specified
      Employee.  Notwithstanding anything contained in this
      Agreement to the contrary, if Executive is a “specified employee,” within
      the meaning of Section 409A as determined under Company’s policy for
      determining specified employees on the Termination Date, all payments,
      benefits or reimbursements paid or provided under this Agreement that
      constitute a “deferral of compensation” within the meaning of Section 409A
      of the Code, that are provided as a result of a Separation from Service
      and that would otherwise be paid or provided during the first 6 months
      following such Termination Date shall be accumulated through and paid or
      provided (together with interest at the applicable Federal short-term
      rate, compounded semi-annually, in effect under Code Section 1274(d) as of
      the Termination Date) within 30 calendar days after the first business day
      following the 6 month anniversary of such Termination Date (or, if
      Executive dies during such 6-month period, within 10 calendar days after
      Executive’s death).

               

              (B)  Compliance
      with Section 409A.  It is intended that the payments and
      benefits provided under this Agreement shall either be exempt from the
      application of, or comply with, the requirements of Section 409A. This
      Agreement shall be construed, administered, and governed in a manner that
      effects such intent, and Company shall not take any action that would be
      inconsistent with such intent. Without limiting the foregoing, the
      payments and benefits provided under this Agreement may not be deferred,
      accelerated, extended, paid out or modified in a manner that would result
      in the imposition of an additional tax under Section 409A upon Executive.
      Although Company shall use its best efforts to avoid the imposition of
      taxation, interest and penalties under Section 409A, the tax treatment of
      the benefits provided under this Agreement is not warranted or guaranteed.
      Neither Company, its Subsidiaries nor their respective directors,
      officers, employees or advisors shall be held liable for any taxes,
      interest, penalties or other monetary amounts owed by Executive or other
      taxpayer as a result of the Agreement.

               

              8.         Termination
      Procedures.

               

              (A)  Notice.  On
      or after the occurrence of a Change in Control, any purported termination
      of Executive’s employment (other than by reason of death) shall be
      communicated by written Notice of Termination from one party hereto to the
      other party hereto in
accordance

            

    

    
      
         

      

      
        - 17
-

        
          

        

      

      
         

      

    

     

    
      	
              with
      Section 14 hereof. For purposes of this Agreement, a “Notice of
      Termination” shall mean a written notice that indicates the specific
      termination provision in this Agreement relied upon, and, if applicable,
      the notice shall set forth in reasonable detail the facts and
      circumstances claimed to provide a basis for termination of Executive’s
      employment under the provision so indicated.  Further, a Notice
      of Termination for Cause shall include a copy of a resolution duly adopted
      by the affirmative vote of not less than a majority of the entire
      membership of the Board at a meeting of the Board that was called and held
      for the purpose of considering the termination (after reasonable notice to
      Executive and an opportunity for Executive, together with his counsel, to
      be heard by the members of the Board) finding that, in the informed,
      reasonable, good faith judgment of the Board, Executive’s conduct
      satisfies one or more of the requirements set forth in the definition of
      Cause in Section 1, and specifying the particulars thereof in
      detail.

               

              (B)  Termination
      Date.  “Termination Date” under this Agreement shall mean
      the effective date of Executive’s employment with Company or its
      affiliates that constitutes a “separation from service” within the meaning
      of Section 409A.  Except as provided in the next sentence, the
      Termination Date shall be determined as follows: (i) if Executive’s
      employment is terminated for Disability, 30 business days after Notice of
      Termination is given (provided that Executive shall not have returned to
      the full-time performance of Executive’s duties during that 20
      business-day period) and (ii) if Executive’s employment is terminated for
      any other reason, the date specified in the Notice of Termination, which,
      in the case of a termination by Company, shall not be less than 10
      business days except in the case of a termination for Cause, and, in the
      case of a termination by Executive, shall not be less than 10 business
      days nor more than 20 business days, respectively, after the date such
      Notice of Termination is given.  Company and Executive shall
      take all steps necessary (including with regard to any post-termination
      services by Executive) to ensure that any termination described in this
      Section 8(B) constitutes a “separation from service” within the meaning of
      Section 409A and that the date on which such separation from service takes
      place is the “Termination Date.”

               

              9.         Restrictive
      Covenants.

               

              (A)  Non-Disclosure.  Executive
      acknowledges that in the course of Executive’s employment with Company and
      any Subsidiary Executive has had and will have access
      to

            

    

     

     

    
      
         

      

      
        - 18
-

        
          

        

      

      
         

      

    

     

    
      	
              confidential
      information and trade secrets proprietary to Company and its Subsidiaries,
      including, without limitation, information and knowledge pertaining to
      services provided, products, innovations, designs, ideas, plans, trade
      secrets, proprietary information, transmission and distribution systems
      and methods, revenue and profit figures, customer lists, contracts,
      studies, relationships between the Company and its Affiliates and/or
      Subsidiaries and other others who have business dealings with the Company
      and its Affiliates and/or Subsidiaries ("Confidential
      Information").  Executive further acknowledges that the
      Confidential Information is proprietary to Company and its Subsidiaries,
      that the unauthorized disclosure of any of the Confidential Information to
      any person or entity will result in immediate and irreparable competitive
      injury to Company and its Subsidiaries, and that such injury cannot
      adequately be remedied by an award of monetary damages. Accordingly,
      Executive shall not at any time disclose any Confidential Information to
      any person or entity who is not properly authorized by Company or its
      Subsidiaries to receive the information without the prior written consent
      of the Board (which consent may be withheld for any reason or no reason)
      unless and except to the extent that such disclosure is required by any
      subpoena or other legal process (in which event Executive will give the
      Board prompt written notice of such subpoena or other legal process and
      will cooperate with the Company in order to permit Company and its
      Subsidiaries to seek appropriate protective orders).  Executive
      shall not use any Confidential Information for Executive’s own account
      without the prior written consent of the Board (which consent may be
      withheld for any reason or no reason).

               

              (B)  Non-Compete.  Executive
      shall not during Executive’s employment with Company or any Subsidiary and
      thereafter until the expiration of the Non-Interference/Assistance Period,
      in any manner, directly or indirectly, through any person, firm or
      corporation, alone or as a member of a partnership or as an officer,
      director, shareholder, investor or employee of or in any other corporation
      or enterprise or otherwise, (i) engage in or be engaged in, or assist any
      other person, firm, corporation or enterprise in engaging or being engaged
      in, any business then actively being conducted by Company or its
      Subsidiaries, or any business that each of Company or its Subsidiaries has
      engaged in during the Non-Interference/Assistance Period within Vermont,
      (ii) engage in or be engaged in, or assist the Vermont Public Service
      Board, Connecticut Department of Public Utility, Vermont Department of
      Public Service or successor

            

    

     

     

    
      
         

      

      
        - 19
-

        
          

        

      

      
         

      

    

     

    
      	
              department
      or agency in the regulation or oversight of the Company or its
      Subsidiaries, or (iii) engage in or be engaged in, or assist any active
      customer or supplier  of Company or its Subsidiaries in the
      development, negotiation, or implementation of a power supply or power
      purchase contract or other agreement with Company or its Subsidiaries. .
      Nothing in this Section shall prohibit Executive from being: (x) a
      shareholder in a mutual fund or a diversified investment company or (y) a
      passive owner of not more than 5% of the outstanding equity securities of
      any class of a corporation or other entity which is publicly traded, so
      long as Executive has no active participation in the business of such
      corporation or other entity. For the purpose of clarification, the
      business in which Company is actively engaged includes the purchase,
      production, transmission, distribution, and the retail sale of electricity
      principally in Vermont; however, Company also sells excess power in the
      wholesale markets administered by ISO New England and to other New England
      customers.

               

              (C)  Non-Interference.  Executive
      shall not during his employment with Company or its Subsidiaries and
      thereafter until the expiration of the Non-Interference/Assistance Period
      employ, or assist any person or entity in employing, any employee of
      Company or its Subsidiaries. Executive shall not during his employment
      with Company or its Subsidiaries and thereafter until the expiration of
      the Non-Interference/Assistance Period solicit, or assist any person or
      entity to solicit, any employee of any member of Company or its
      Subsidiaries to leave the employment of Company or its Subsidiaries or to
      become employed by any other entity.

               

              (D)  Non-Disparagement.  During
      the term of employment and thereafter until the expiration of the
      Non-Interference/Assistance Period, Executive shall not, in any
      communications with the press or other media or any customer, client or
      supplier of Company, or any Subsidiary, criticize, ridicule or make any
      statement which disparages or is derogatory of Company or any Subsidiary,
      of any successor or assignee thereto or of their respective directors or
      senior officers.  No director or senior officer of company will,
      during the same time period, criticize, ridicule or make any statement
      which disparages or is derogatory of Executive.

               

              (E)  Change
      in Scope.  If a court holds that the restrictions
      provided for in this Section 9 are unreasonable under circumstances then
      existing, the parties hereto agree that the maximum period, scope or
      geographical area reasonable under such circumstances shall be substituted
      for

            

    

    
      
         

      

      
        - 20
-

        
          

        

      

      
         

      

    

     

    
      	
              the
      stated period, scope or area and that the court shall be allowed to revise
      the restrictions contained herein to cover the maximum period, scope and
      area permitted by law.

               

              (F)  Acknowledgment
      by Executive.  Executive acknowledges that the covenants
      contained in this Section 9 are a principal inducement for the willingness
      of Company to enter into this Agreement and make the payments and provide
      the benefits to Executive under this Agreement and that Company and
      Executive intend the covenants to be binding upon and enforceable against
      Executive in accordance with their terms, notwithstanding any common or
      statutory law to the contrary. Executive agrees that the obligations of
      Company under this Agreement (specifically including, but not limited to,
      the obligation to make any payment or provide any benefit under paragraphs
      (B), (C), (D), (E)(F) and (G) of Section 4 or Section 6) constitute
      sufficient consideration for the covenants contained in this Section 9.
      Company and  Executive further agree that the restrictions
      contained in this Section 9 are reasonable in period, scope and
      geographical area and are necessary to protect the legitimate business
      interests and Confidential Information of Company and its Subsidiaries.
      Executive agrees that he will notify Company and its Subsidiaries in
      writing if he has, or reasonably should have, any questions regarding the
      applicability of this Section 9. Because Executive’s services are unique
      and because Executive has access to Confidential Information, the parties
      agree that Company and its Subsidiaries would be damaged irreparably in
      the event any of the provisions of this Section 9 were not performed in
      accordance with their specific terms or were otherwise breached and that
      money damages would be an inadequate remedy for any such non-performance
      or breach. In the event that Executive breaches or threatens to breach any
      such provision of this Section 9, the parties agree that Company and its
      Subsidiaries shall be entitled to seek any and all equitable and legal
      relief provided by law, specifically including immediate and permanent
      injunctive relief to prevent any breach or threatened breach of any of
      such provisions and to enforce such provisions specifically (without
      posting a bond or other security). Executive hereby waives any claim that
      Company or its Subsidiaries have an adequate remedy at law. The parties
      agree that the foregoing relief shall not be construed to limit or
      otherwise restrict the ability of Company and its Subsidiaries to pursue
      any other remedy provided by law, including the recovery of any actual,
      compensatory or punitive
damages.

            

    

     

     

    
      
         

      

      
        - 21
-

        
          

        

      

      
         

      

    

     

    
      	
              10.         Consulting.  Executive
      agrees to provide such consulting services as may reasonably be requested
      by the Company during the Non-Interference/Assistance Period.

               

              11.         No
      Offsets or Mitigation/Withholding.  Company’s obligation
      to make the payments provided for in Sections 4, 6 or 12 of this Agreement
      and otherwise to perform its obligations hereunder shall be absolute and
      unconditional and shall not be affected by any set-off, counterclaim,
      recoupment, defense or other claim, right or action which Company or any
      of its Subsidiaries may have against Executive or others. In no event
      shall Executive be obligated to seek other employment or take any other
      action by way of mitigation of the amounts payable to Executive under any
      of the provisions of this Agreement and such amounts shall not be reduced
      whether or not Executive obtains other employment.  All payments
      to be made by Company or a Subsidiary under this Agreement shall be
      reduced by any tax or other amounts required to be withheld under
      applicable law.

               

              12.         Disputes.

               

              (A)  Arbitration.  Any
      dispute or controversy arising out of or in connection with this Agreement
      shall, upon a written notice from Executive to Company either before suit
      thereupon is filed or within 20 business days thereafter, be settled
      exclusively by binding arbitration before an arbitrator mutually
      acceptable to the parties in accordance with the Commercial Arbitration
      Rules of the American Arbitration Association. The arbitration proceeding
      shall be conducted at a location that is within 50 miles of the location
      of Executive’s principal place of employment on the Termination Date.
      Judgment may be entered on the arbitrator’s award in any court having
      jurisdiction.  Notwithstanding the foregoing, Company shall not
      be required to seek or participate in arbitration regarding any breach or
      threatened breach by Executive of his obligations in Section 9, but may
      pursue its remedies for such breach in a court of competent jurisdiction
      in accordance with Section 12(C) below.

               

              (B)  Legal
      Fees and Expenses.  In the event that Executive prevails
      in an arbitration commenced as provided for in this Section 12, Company
      shall pay or reimburse Executive for reasonable legal fees and expenses
      incurred by Executive and attributable to such
      arbitration.

               

            

    

     

     

    
      
         

      

      
        - 22
-

        
          

        

      

      
         

      

    

     

    
      	
              (C)  Other
      Legal Action.  Any legal action concerning this
      Agreement, other than an arbitration described in Section 12(A), whether
      instituted by Company or Executive, shall be brought and resolved only in
      the United States Federal District Court of
      Vermont.  Company  and Executive hereby irrevocably
      consent and submit to and shall take any action necessary to be subject to
      the personal jurisdiction of that court and hereby irrevocably agree that
      all claims in respect of the action shall be instituted, heard, and
      determined in that court. Company and Executive each agree that such court
      is a convenient forum, and hereby irrevocably waive, to the fullest extent
      possible, the defense of an inconvenient forum to the maintenance of the
      action. Any final judgment in the action may be enforced in other
      jurisdictions by suit on the judgment or in any other manner provided by
      law.

               

              13.         Successors;
      Binding Agreement.

               

              (A)  In addition to any obligations
      imposed by law upon any successor to Company, Company shall require any
      successor (whether direct or indirect, by purchase, merger, consolidation,
      or otherwise) to all or substantially all of the business or assets of
      Company expressly to assume and agree to perform this Agreement in the
      same manner and to the same extent that Company would be required to
      perform it if no such succession had taken place. The provisions of this
      Section 13 shall continue to apply to each subsequent employer of
      Executive bound by this Agreement in the event of any merger,
      consolidation, or transfer of all or substantially all of the business or
      assets of that subsequent employer.

               

              (B)  This Agreement shall inure to the
      benefit of and be enforceable by Executive’s personal or legal
      representatives, executors, administrators, successors, heirs,
      distributees, devisees, and legatees. If Executive shall die while any
      amount would be payable to Executive hereunder (other than amounts which,
      by their terms, terminate upon the death of Executive) if Executive had
      continued to live, the amount, unless otherwise provided herein, shall be
      paid in accordance with the terms of this Agreement to the executors,
      personal representatives, or administrators of Executive’s
      estate.

               

              14.         Notices.  For
      the purpose of this Agreement, notices and all other communications
      provided for in the Agreement shall be in writing and shall be deemed to
      have been duly given when delivered or mailed by United States registered
      mail, return receipt requested,
postage

            

    

    
      
         

      

      
        - 23
-

        
          

        

      

      
         

      

    

     

    
      	
              prepaid,
      addressed to the respective addresses set forth below, or to such other
      address as either party may have furnished to the other in writing in
      accordance herewith, except that notice of change of address shall be
      effective only upon actual receipt:

               

              To
      Company:

               

              Central
      Vermont Public Service Corporation

               

              77
      Grove Street, Rutland Vermont  05701

              Attention:  [______Officer]

               

              To
      Executive:

              _______________________________

               

              15.         Miscellaneous.  Except
      as otherwise provided in Section 6, no provision of this Agreement may be
      modified, waived, or discharged unless such waiver, modification, or
      discharge is agreed to in writing and signed by Executive and an officer
      of Company specifically designated by the Board. No waiver by either party
      hereto at any time of any breach by the other party hereto of, or
      compliance with, any condition or provision of this Agreement to be
      performed by such other party shall be deemed a waiver of similar or
      dissimilar provisions or conditions at the same or at any prior or
      subsequent time. The validity, interpretation, construction, and
      performance of this Agreement shall be governed by the laws of the State
      of Delaware. All references to sections of the Exchange Act or the Code
      shall be deemed also to refer to any successor provisions to such
      sections. Any payments provided for hereunder shall be paid net of any
      applicable withholding required under federal, state, or local law and any
      additional withholding to which Executive has agreed.

               

              16.         Validity.  The
      invalidity or unenforceability of any provision of this Agreement shall
      not affect the validity or enforceability of any other provision of this
      Agreement, which shall remain in full force and effect.

               

              17.         Counterparts.  This
      Agreement may be executed in several counterparts, each of which shall be
      deemed to be an original but all of which together will constitute one and
      the same instrument.

            

    

     

     

    
      
         

      

      
        - 24
-

        
          

        

      

      
         

      

    

     

    
      	
              18.         Entire
      Agreement.  This Agreement constitutes the entire
      agreement between the parties relating to a the subject matter hereof,
      superseding all prior oral or written communications, agreements,
      contracts and the like between the
parties.

            

    

     

     

    
      
         

      

      
        - 25
-

        
          

        

      

      
         

      

    

     

    
      	
              ACKNOWLEDGEMENT OF
      ARBITRATION

               

              The
      parties to this Agreement acknowledge the arbitration provision of this
      Agreement, and acknowledge that no lawsuit may be brought by either party
      concerning any dispute that may arise which is covered by the arbitration
      provision, unless it involves a question of constitutional or civil
      rights, and that such dispute shall be submitted to arbitration in
      accordance with the arbitration provision as set forth in Section
      12(A).

               

              DATED at Rutland, Vermont this ____ day of
      ___________ __________.

               

            
	
              IN
      PRESENCE OF:

               

              ________________________

              Witness

               

               

            	
               

               

              ______________________________

              Executive

               

            
	
              ________________________

              Witness

            	
              CENTRAL
      VERMONT PUBLIC

              SERVICE
      CORPORATION

               

              By  ____________________________

              Mary
      Alice McKenzie

              Chairperson
      of the Board

               

            

    

     

     

    
      
         

      

      
        - 26
-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00141-of-00352.parquet"}]]