Document:

Exhibit 10.5

Exhibit 10.5

Amendment No. 1 to

FirstEnergy Corp. 2007 Incentive Plan

(Effective May 15, 2007)

WHEREAS, FirstEnergy Corp. (the “Company”), established the FirstEnergy Corp. Executive and
Director Incentive Compensation Plan; and

WHEREAS, the Plan was restated and renamed as the FirstEnergy Corp. 2007 Incentive Plan
effective May 15, 2007 (the “Plan”); and

WHEREAS, Section 18.1 provides that the Compensation Committee of the Board of Directors of
the Company (the “Compensation Committee”) may amend or modify the Plan at any time and from time
to time; and

WHEREAS, the Compensation Committee now desires to amend the Plan, effective January 1, 2011,
to change the definition of “Change in Control” and related terms for Awards granted under the Plan
on or after January 1, 2011;

NOW, THEREFORE, in accordance with Section 18.1 of the Plan, the Plan is amended, effective as
of January 1, 2011, as follows:

1. Section 2.8 is hereby amended by the deletion of said Section 2.8 in its entirety and the
substitution in lieu thereof of a new Section 2.8 to read as follows:

“2.8 ‘Change in Control’ means:

(x) for Awards granted under the Plan before January 1, 2011:

(a) An acquisition by any Person (as defined in
Section 3(a)(9) of the Securities Exchange Act of 1934, as amended from
time to time, and any successor thereto (the ‘Exchange Act’) and as
used in Sections 13(d) and 14(d) thereof, including a ‘group’ as
defined in Section 13(d) thereof) of beneficial ownership (within the
meaning of Rule 13d-3 promulgated under the Exchange Act) immediately
after which such Person has beneficial ownership of fifty percent

 

 

 

(50%) (twenty-five percent (25%) if such Person proposes any
individual for election to the Board or any member of the Board is
the representative of such Person) or more of either: (i) the
then-outstanding shares of common stock of the Company (the
‘Outstanding Company Common Stock’), or (ii) the combined voting
power of the then-outstanding voting securities of the Company
entitled to vote generally in the election of Directors (the
‘Outstanding Company Voting Securities’); provided, however, that the
following acquisitions shall not constitute a Change in Control:

	 	i.	 	Any acquisition directly from the
Company (excluding an acquisition by virtue of the exercise of a
conversion privilege);

	 
	 	ii.	 	Any acquisition by the Company;

	 	iii.	 	Any acquisition by an employee
benefit plan (or related trust) sponsored or maintained by the
Company or any corporation controlled by the Company; or

	 	iv.	 	Any acquisition by any
corporation pursuant to a reorganization, merger, or
consolidation (collectively a ‘Reorganization’ for purposes of
this Subsection 2.8(x) if, following such Reorganization, the
conditions described in (c)(i), (c)(ii), and (c)(iii) of this
Section 2.8(x) are satisfied;

(b) Individuals who, as of the Effective Date,
constitute the Board (the ‘Incumbent Board’) cease for any reason to
constitute at least a majority of the Board; provided, however, that
any individual becoming a Director subsequent to the Effective Date
whose election, or nomination for election by the Company’s
shareholders, is approved by a vote of at least a majority of the
Directors then comprising the Incumbent Board shall be considered as a
member of the Incumbent Board, but excluding, for this purpose, any
such individual whose initial assumption of office occurs as a result
of either an actual or threatened election contest (within the meaning
of solicitations subject to Rule 14a-12(c) of Regulation 14A
promulgated under the Exchange Act or any successor rule) or other
actual or threatened solicitation of proxies or consents by or on
behalf of a Person other than the Board; or

 

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(c) Consummation of a Reorganization, or sale or
other disposition of all or substantially all of the assets of the
Company in one transaction or a series of related transaction, in each
case, unless,
following such Reorganization, or sale or other disposition of
assets:

	 	i.	 	More than seventy-five percent
(75%) of, respectively, the then-outstanding shares of common
stock of the corporation resulting from such Reorganization or
acquisition of such assets and the combined voting power of the
then-outstanding voting securities of such resulting or
acquiring corporation entitled to vote generally in the election
of Directors is then beneficially owned, directly or indirectly,
by all or substantially all of the individuals and entities who
were the beneficial owners, respectively, of the Outstanding
Company Common Stock and Outstanding Company Voting Securities
immediately prior to such Reorganization, or sale or other
disposition of assets in substantially the same proportions as
their ownership, immediately prior to such Reorganization, or
sale or other disposition of assets, of the Outstanding Company
Common Stock and Outstanding Company Voting Securities, as the
case may be;

	 	ii.	 	No Person (excluding the Company,
any employee benefit plan (or related trust) of the Company or
such corporation resulting from such Reorganization, or sale or
other disposition of assets, and any Person beneficially owning,
immediately prior to such Reorganization, or sale or other
disposition of assets, directly or indirectly, twenty-five
percent (25%) or more of the Outstanding Company Common Stock or
Outstanding Company Voting Securities, as the case may be)
beneficially owns, directly or indirectly, twenty-five percent
(25%) or more of, respectively, the then-outstanding shares of
common stock of the corporation resulting from such
Reorganization or acquiring such assets, or the combined voting
power of the then-outstanding voting securities of such
resulting or acquiring corporation that are entitled to vote
generally in the election of directors; and

	 	iii.	 	At least a majority of the
members of the board of directors of the corporation resulting
from such Reorganization or acquisition of such assets were
members of the Incumbent Board at the time of the execution of
the initial agreement providing for such Reorganization, or sale
or other disposition of assets; or

(d) Approval by the shareholders of the Company of a complete liquidation or
dissolution of the Company;

 

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However, in no event will a Change in Control be deemed to have occurred, with respect
to a Participant, if the Participant is part of a purchasing group which consummates the
Change in Control transaction. The Participant shall be deemed ‘part of a purchasing group’
for purposes of the preceding sentence if the Participant is an equity participant or has
agreed to become an equity participant in the purchasing company or group (excluding passive
ownership of less than five percent (5%) of the voting securities of the purchasing company
or ownership of equity participation in the purchasing company or group which is otherwise
not deemed to be significant, as determined prior to the Change in Control by a majority of
the nonemployee continuing members of the Board of Directors); and

In addition, a Change in Control may occur only with respect to the Company. A change
in ownership of common stock of an affiliate or subsidiary, change in membership of a board
of directors of an affiliate or subsidiary, the sale of assets of an affiliate or
subsidiary, or any other event described in this subsection that occurs only with respect to
an affiliate or subsidiary does not constitute a Change in Control; and

(y) for Awards granted under the Plan on or after January 1, 2011:

(a) An acquisition by any Person, directly or indirectly, of beneficial
ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act)
immediately after which such Person has beneficial ownership of twenty-five percent
(25%) or more of either: (i) the Outstanding Company Common Stock, or (ii) the
Outstanding Company Voting Securities; provided, however, that the following
acquisitions of beneficial ownership of Outstanding Company Common Stock or
Outstanding Company Voting Securities shall not constitute a Change in Control:

	 	i.	 	Any acquisition directly from the
Company (excluding an acquisition by virtue of the exercise of a
conversion privilege, unless the security being so converted was
itself acquired directly from the Company);

	 
	 	ii.	 	Any acquisition by the Company;

	 	iii.	 	Any acquisition by an employee
benefit plan (or related trust) sponsored or maintained by the
Company or any corporation controlled by the Company; or

	 	iv.	 	Any acquisition pursuant to a
reorganization, merger, or consolidation involving the Company
or any direct or indirect wholly-owned subsidiary of the
Company, whether or not the Company is the surviving corporation
in such transaction (any of the foregoing, a ‘Reorganization’
for purposes of this Section 2.8(y)), if, following such
Reorganization, the conditions described in paragraph (y)(c)
below are satisfied;

 

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(b) Individuals who, as of January 1, 2011, constitute the Board (the
‘Incumbent Board’) cease for any reason to constitute at least a majority of the
Board; provided, however, that any individual becoming a Director subsequent to
January 1, 2011 whose election, or nomination for election by the Company’s
shareholders, is approved by a vote of at least a majority of the Directors then
comprising the Incumbent Board shall be considered as a member of the Incumbent
Board, but excluding, for this purpose, any such individual whose initial assumption
of office occurs as a result of either an actual or threatened election contest
(within the meaning of solicitations subject to Rule 14a-12(c) of Regulation 14A
promulgated under the Exchange Act or any successor rule) or other actual or
threatened solicitation of proxies or consents by or on behalf of a Person other
than the Board;

(c) Consummation of a (A) Reorganization or (B) sale or disposition of all or
substantially all of the assets of the Company in one transaction or a series of
related transactions (determined on a consolidated basis), other than in connection
with a sale-leaseback or other arrangement resulting in the continued utilization of
such assets by the Company (a ‘Major Asset Disposition’), unless in each case
following such Reorganization or Major Asset Disposition (either, a ‘Major Corporate
Event’) each of the following conditions is met:

	 	i.	 	The Outstanding Company Voting
Securities immediately prior to such Major Corporate Event
represent (either by remaining outstanding or by converting into
or being exchanged for voting securities of the surviving
corporation) at least sixty percent (60%) of the combined voting
power of the surviving corporation (including a corporation
which, as a result of such Major Corporate Event, owns the
Company or all or substantially all of the assets of the
Company) outstanding immediately after such Major Corporate
Event;

	 	ii.	 	No Person (excluding the Company,
any employee benefit plan (or related trust) of the Company or
the resulting or acquiring corporation resulting from such Major
Corporate Event, and any Person beneficially owning, immediately
prior to such Major Corporate Event, directly or indirectly,
twenty-five percent (25%) or more of the Outstanding Company
Common Stock or Outstanding Company Voting Securities, as the
case may be) beneficially owns, directly or indirectly,
immediately after consummation of such Major Corporate Event,
twenty-five percent (25%) or more of, respectively, the
then-outstanding shares of common stock of the resulting or
acquiring corporation in such
Major Corporate Event, or the combined voting power of the
then-outstanding voting securities of such resulting or
acquiring corporation that are entitled to vote generally in
the election of directors; and

	 	iii.	 	At least a majority of the
members of the board of directors of the corporation resulting
from such Major Corporate Event were members of the Incumbent
Board at the time of the execution of the initial agreement
providing for such Major Corporate Event; or

 

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(d) Approval by the shareholders of the Company of a complete liquidation or
dissolution of the Company;

However, in no event will a Change in Control be deemed to have occurred, with respect
to a Participant, if the Participant is part of a purchasing group which consummates the
Change in Control transaction. The Participant shall be deemed ‘part of a purchasing group’
for purposes of the preceding sentence if the Participant is an equity participant or has
agreed to become an equity participant in the purchasing company or group (excluding passive
ownership of less than five percent (5%) of the voting securities of the purchasing company
or ownership of equity participation in the purchasing company or group which is otherwise
not deemed to be significant, as determined prior to the Change in Control by a majority of
the nonemployee continuing members of the Board of Directors).”

IN WITNESS WHEREOF, pursuant to the delegation of authority made to an authorized officer of
FirstEnergy Corp. on February 25, 2011, by the Board of Directors of FirstEnergy Corp., to approve
the changes to the FirstEnergy Corp. 2007 Incentive Plan which are reflected in Amendment No. 1 to
FirstEnergy Corp. 2007 Incentive Plan, this Amendment No. 1 is hereby executed this 28th day of
April, 2011, effective as of the date set forth above.

	 	 	 	 	 
	 	FIRSTENERGY CORP.

 	 
	 	By:  	/s/ Anthony J. Alexander
 	 
	 	 	Anthony J. Alexander, 	 
	 	 	President and Chief Executive

Officer of FirstEnergy Corp. 	 

 

6Exhibit 10.6

Exhibit 10.6

Amendment No. 1 to

FirstEnergy Corp. Executive Deferred Compensation Plan

(Effective September 28, 1985, Amended and Restated as of January 1, 2005 and

Further Amended December 31, 2010)

WHEREAS, FirstEnergy Corp. (the “Company”) amended and restated the FirstEnergy Corp.
Executive Deferred Compensation Plan effective December 31, 2010 (the “Plan”); and

WHEREAS, Section 10.1 of the Plan provides that the Plan may be amended, subject to certain
conditions, at any time by action of the Board of Directors of the Company (the “Board”) or
Compensation Committee of the Board (the “Compensation Committee”) or by a writing executed on
behalf of the Board or the Compensation Committee by the Company’s duly elected officers; and

WHEREAS, Section 10.1 of the Plan also provides that any amendment to the Plan will be
effective on the first day of the calendar year following the adoption by the Company of such
amendment, provided that all participants are notified of such amendment no later than November 15
of the year in which such amendment is adopted; and

WHEREAS, the Board now desires to amend the Plan, effective January 1, 2012, to change the
definition of “Change in Control” and related terms in the Plan for amounts deferred or accrued
under the Plan on or after January 1, 2012; and

WHEREAS, the participants under the Plan will be notified of this Amendment prior to November
15, 2011;

NOW, THEREFORE, in accordance with Section 10.1 of the Plan, the Plan is amended, effective as
of January 1, 2012, as follows:

 

 

 

Appendix B is hereby amended by the deletion of said Appendix B in its entirety and the
substitution in lieu thereof of a new Appendix B to read as follows:

“APPENDIX B

Change in Control

‘Change in Control’ means:

(x) for amounts deferred or accrued under the Plan before January 1, 2012:

1. An acquisition by any Person (as defined in Section 3(a)(9) of the
Securities Exchange Act of 1934, as amended from time to time, and any successor
thereto (the ‘Exchange Act’) and as used in Sections 13(d) and 14(d) thereof,
including a ‘group’ as defined in section 13(d) thereof) of beneficial ownership
(within the meaning of Rule 13d-3 promulgated under the Exchange Act) of fifty
percent (50%) (twenty-five percent (25%) if such Person proposes any individual for
election to the Board of Directors or any member of the Board is the representative
of such Person) or more of either (i) the then outstanding shares of common stock of
the Company (‘Outstanding Company Common Stock’), or (ii) the combined voting power
of the then outstanding voting securities of the Company entitled to vote generally
in the election of directors (‘Outstanding Company Voting Securities’); provided,
however, that the following acquisitions will not constitute a Change in Control:

(a) Any acquisition directly from the Company (excluding an acquisition
by virtue of the exercise of a conversion privilege);

(b) Any acquisition by the Company;

(c) Any acquisition by an employee benefit plan (or related trust)
sponsored or maintained by the Company or any corporation controlled by the
Company; or

(d) Any acquisition by any corporation pursuant to a reorganization,
merger, or consolidation if, following such reorganization, merger, or
consolidation, the conditions described in clauses 3(a), 3(b) and 3(c) of
Subsection (x) of this Appendix B are satisfied;

2. Individuals who, as of the date hereof, constitute the Board (the ‘Incumbent
Board’) cease for any reason to constitute at least a majority of the Board;
provided, however, that any individual becoming a director subsequent to the date
hereof whose election, or nomination for election by the Company’s shareholders, was
approved by a vote of at least a majority of the directors then comprising the
Incumbent Board shall be considered as though such individual were a member of the
Incumbent Board, but excluding, for this purpose, any such individual whose initial
assumption of office occurs as a result of either an actual or threatened election
contest (as such terms are used in Rule 14a-11 of Regulation 14A promulgated under
the Exchange Act) or other actual or
threatened solicitation of proxies or consents by or on behalf of a Person
other than the Board; or

 

2

 

3. Consummation of a reorganization, merger, or consolidation or sale or other
disposition of all or substantially all of the assets of the Company, in each case,
unless, following such reorganization, merger, or consolidation or sale or other
disposition of assets:

(a) More than seventy-five percent (75%) of, respectively, the then
outstanding shares of common stock of the corporation resulting from such
reorganization, merger, consolidation, or acquiring such assets and the
combined voting power of the then outstanding voting securities of such
corporation entitled to vote generally in the election of directors is then
beneficially owned, directly or indirectly, by all or substantially all of
the individuals and entities who were the beneficial owners, respectively,
of the Outstanding Company Common Stock and Outstanding Company Voting
Securities immediately prior to such reorganization, merger, consolidation,
or sale or other disposition of assets in substantially the same proportions
as their ownership, immediately prior to such reorganization, merger,
consolidation, or sale or other disposition of assets, of the Outstanding
Company Common Stock and Outstanding Company Voting Securities, as the case
may be;

(b) No Person (excluding the Company, any employee benefit plan (or
related trust) of the Company or such corporation resulting from such
reorganization, merger, consolidation, or sale or other disposition of
assets, and any Person beneficially owning, immediately prior to such
reorganization, merger, consolidation, or sale or other disposition of
assets, directly or indirectly, twenty-five percent (25%) or more of the
Outstanding Company Common Stock or Outstanding Voting Securities, as the
case may be) beneficially owns, directly or indirectly, twenty-five percent
(25%) or more of, respectively, the then outstanding shares of common stock
of the corporation resulting from such reorganization, merger, or
consolidation or acquiring such assets or the combined voting power of the
then outstanding voting securities of such corporation entitled to vote
generally in the election of directors; and

(c) At least a majority of the members of the Board of Directors of the
corporation resulting from such reorganization, merger, or consolidation or
acquiring such assets were members of the Incumbent Board at the time of the
execution of the initial agreement providing for such reorganization,
merger, consolidation or sale or other disposition of assets; or

4. Approval by the shareholders of the Company of a complete liquidation or
dissolution of the Company.

 

3

 

However, in no event will a Change in Control be deemed to have occurred, with respect
to a Participant, if the Participant is part of a purchasing group which consummates the
Change in Control transaction. The Participant will be deemed ‘part of a purchasing group’
for purposes of the preceding sentence if the Participant is an equity participant or has
agreed to become an equity participant in the purchasing company or group (excluding passive
ownership of less than five percent (5%) of the voting securities of the purchasing company
or ownership of equity participation in the purchasing company or group which is otherwise
not deemed to be significant, as determined prior to the Change in Control by a majority of
the nonemployee continuing members of the Board of Directors); and

(y) for amounts deferred or accrued (i.e., earned) under the Plan on or after January 1, 2012:

1. An acquisition by any Person, directly or indirectly, of beneficial
ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act)
immediately after which such Person has beneficial ownership of twenty-five percent
(25%) or more of either: (i) the Outstanding Company Common Stock, or (ii) the
Outstanding Company Voting Securities; provided, however, that the following
acquisitions of beneficial ownership of Outstanding Company Common Stock or
Outstanding Company Voting Securities shall not constitute a Change in Control:

(a) Any acquisition directly from the Company (excluding an acquisition
by virtue of the exercise of a conversion privilege, unless the security
being so converted was itself acquired directly from the Company);

(b) Any acquisition by the Company;

(c) Any acquisition by an employee benefit plan (or related trust)
sponsored or maintained by the Company or any corporation controlled by the
Company; or

(d) Any acquisition pursuant to a reorganization, merger, or
consolidation involving the Company or any direct or indirect wholly-owned
subsidiary of the Company, whether or not the Company is the surviving
corporation in such transaction (any of the foregoing, a ‘Reorganization’
for purposes of this Subsection (y)), if, following such Reorganization, the
conditions described in clause (3) of Subsection (y) of this Appendix B
below are satisfied;

 

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2. Individuals who, as of January 1, 2012, constitute the Board (the ‘Incumbent
Board’) cease for any reason to constitute at least a majority of the Board;
provided, however, that any individual becoming a Director subsequent to January 1,
2012 whose election, or nomination for election by the Company’s
shareholders, is approved by a vote of at least a majority of the Directors
then comprising the Incumbent Board shall be considered as a member of the Incumbent
Board, but excluding, for this purpose, any such individual whose initial assumption
of office occurs as a result of either an actual or threatened election contest
(within the meaning of solicitations subject to Rule 14a-12(c) of Regulation 14A
promulgated under the Exchange Act or any successor rule) or other actual or
threatened solicitation of proxies or consents by or on behalf of a Person other
than the Board;

3. Consummation of a (A) Reorganization or (B) sale or disposition of all or
substantially all of the assets of the Company in one transaction or a series of
related transactions (determined on a consolidated basis), other than in connection
with a sale-leaseback or other arrangement resulting in the continued utilization of
such assets by the Company (a ‘Major Asset Disposition’), unless in each case
following such Reorganization or Major Asset Disposition (either, a ‘Major Corporate
Event’) each of the following conditions is met:

(a) The Outstanding Company Voting Securities immediately prior to such
Major Corporate Event represent (either by remaining outstanding or by
converting into or being exchanged for voting securities of the surviving
corporation) at least sixty percent (60%) of the combined voting power of
the surviving corporation (including a corporation which, as a result of
such Major Corporate Event, owns the Company or all or substantially all of
the assets of the Company) outstanding immediately after such Major
Corporate Event;

(b) No Person (excluding the Company, any employee benefit plan (or
related trust) of the Company or the resulting or acquiring corporation
resulting from such Major Corporate Event, and any Person beneficially
owning, immediately prior to such Major Corporate Event, directly or
indirectly, twenty-five percent (25%) or more of the Outstanding Company
Common Stock or Outstanding Company Voting Securities, as the case may be)
beneficially owns, directly or indirectly, immediately after consummation of
such Major Corporate Event, twenty-five percent (25%) or more of,
respectively, the then-outstanding shares of common stock of the resulting
or acquiring corporation in such Major Corporate Event, or the combined
voting power of the then-outstanding voting securities of such resulting or
acquiring corporation that are entitled to vote generally in the election of
directors; and

(c) At least a majority of the members of the board of directors of the
corporation resulting from such Major Corporate Event were members of the
Incumbent Board at the time of the execution of the initial agreement
providing for such Major Corporate Event; or

4. Approval by the shareholders of the Company of a complete liquidation or
dissolution of the Company.

 

5

 

However, in no event will a Change in Control be deemed to have occurred, with respect
to a Participant, if the Participant is part of a purchasing group which consummates the
Change in Control transaction. The Participant shall be deemed ‘part of a purchasing group’
for purposes of the preceding sentence if the Participant is an equity participant or has
agreed to become an equity participant in the purchasing company or group (excluding passive
ownership of less than five percent (5%) of the voting securities of the purchasing company
or ownership of equity participation in the purchasing company or group which is otherwise
not deemed to be significant, as determined prior to the Change in Control by a majority of
the nonemployee continuing members of the Board).

IN WITNESS WHEREOF, pursuant to the delegation of authority made to an authorized officer of
FirstEnergy Corp. on February 25, 2011, by the Board of Directors of FirstEnergy Corp., to approve
the changes to the FirstEnergy Corp. Executive Deferred Compensation Plan which are reflected in
Amendment No. 1 to FirstEnergy Corp. Executive Deferred Compensation Plan, this Amendment No. 1 is
hereby executed this 28th day of April, 2011, effective as of the date set forth above.

	 	 	 	 	 
	 	FIRSTENERGY CORP.

 	 
	 	By:  	/s/ Anthony J. Alexander
 	 
	 	 	Anthony J. Alexander, 	 
	 	 	President and Chief Executive 

Officer
of FirstEnergy Corp. 	 

 

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