Document:

cc-ex102_839.htm

Exhibit 10.2

THE CHEMOURS COMPANY 
STOCK ACCUMULATION AND DEFERRED 
COMPENSATION PLAN FOR DIRECTORS
(as amended and restated effective [           ], 2018)

 

	
1.
	
PURPOSE OF THE PLAN 

The purpose of The Chemours Company Stock Accumulation and Deferred Compensation Plan for Directors (the “Plan”) is to permit Directors to defer the payment of all or a specified part of their compensation for services performed as Directors. 

This Plan is intended to comply with the requirements of Section 409A of the Internal Revenue Code of 1986, as amended (“Code”) and the rulings and regulations issued thereunder (collectively, “Code Section 409A”) and shall be administered and construed in accordance with such requirements.  

	
2.
	
ELIGIBILITY 

Members of the Board of Directors of the Company who are not employees of the Company or any of its subsidiaries or affiliates shall be eligible under this Plan to defer compensation for services performed as Directors. 

	
3.
	
ADMINISTRATION AND AMENDMENT 

The Plan shall be administered by the Compensation Committee of the Board of Directors (the “Committee”). The decision of the Committee with respect to any questions arising as to the interpretation of this Plan, including the severability of any and all of the provisions thereof, shall be final, conclusive and binding. The Board of Directors of the Company reserves the right to modify the Plan from time to time, or to terminate the Plan entirely, provided, however, that (1) no modification of the Plan shall operate to annul an election already in effect for the current calendar year or any preceding calendar year; (2) that the foregoing shall not preclude any amendment necessary or desirable to conform to changes in applicable law, including, but not limited to, changes in the Code; and (3) upon termination of the Plan, except to the extent otherwise permitted under Code Section 409A, all balances will be distributed in accordance with the terms of the Plan as in effect on the date of termination.

The Committee is authorized, subject to the provisions of the Plan, from time to time to establish such rules and regulations as it deems appropriate for the proper administration of the Plan, and to make such determinations and take such steps in connection therewith as it deems necessary or advisable. 

 

 

	
4.
	
COMPLIANCE WITH SECTION 16 OF THE EXCHANGE ACT / CHANGE IN LAW 

It is the Company’s intent that the Plan comply in all respects with Rule 16b-3 of the Exchange Act, or its successor, and any regulations promulgated thereunder. If any provision of this Plan is found not to be in compliance with such rule and regulations, the provision shall be deemed null and void, and the remaining provisions of the Plan shall continue in full force and effect. All transactions under this Plan shall be executed in accordance with the requirements of Section 16 of the Exchange Act and the regulations promulgated thereunder. 

The Board of Directors may, in its sole discretion, modify the terms and conditions of this Plan in response to and consistent with any changes in applicable law, rule or regulation. 

	
5.
	
ELECTION TO DEFER AND FORM OF PAYMENT 

On or before December 31 of any calendar year, a Director may elect to defer the payment of all or a specified part of all fees (both cash and equity awards) payable to the Director for services as a Director during the following calendar year. 

To the extent permitted under Code Section 409A, any person who shall become a Director during any calendar year, and who was not a Director of the Company on the preceding December 31, may elect, within thirty days after election to the Board, to defer in the same manner the receipt of the payment of all or a specified part of fees (both cash and equity awards) not yet earned for the remainder of that calendar year.

At the time a Director elects to defer his/her fees (either cash or equity awards) for a calendar year, he/she must also elect:

	
 
	
i.
	
the payment event for such deferred amounts (for cash fees, a specified calendar year, separation from service (within the meaning of Code Section 409A) or a specified calendar year following separation from service, and for equity awards, either a specified grant date anniversary or separation from service (within the meaning of Code Section 409A)); 

	
 
	
ii.
	
with respect to cash fees deferred to separation from service, the form of payment (lump sum or equal annual installments) and the number of equal annual installments, if applicable; 

	
 
	
iii.
	
with respect to cash fees deferred to separation from service where the Director elects to have the payment(s) made or commence in a calendar year following the separation from service, the calendar year following his/her separation from service (not to be later than the fifth (5th) calendar year following the separation from service) in which payment(s) of such deferred amount(s) shall be made or commence, as applicable.  For purposes of clarity, calendar year in this context refers to the sequential calendar year following separation from service (for example, first calendar year, second calendar year, etc.); and

 

 

	
 
	
iv.
	
with respect to deferred cash fees, whether the deferred amounts will be deemed invested in an interest bearing account or in the Company stock fund account.

Amounts deferred to a specified year shall be payable only in a lump sum during the specified calendar year.  Unless expressly provided otherwise in a deferral election form, if amounts are payable in equal annual installments, the first annual installment shall be made (a) in the month following the separation from service (if the Director has elected to have installments commence upon separation from service) or (b) in the calendar year elected by the Director (if the Director has elected pursuant to (iii) above to have the installments commence in a specified calendar year following separation from service), with remaining installments paid in successive calendar years until all installments have been paid. Unless expressly provided otherwise in a deferral election form, if the Director has elected to have deferred cash fees paid in a single lump sum upon separation from service, the payment shall be made in the month following the separation from service. 

Except for elections made by directors of DuPont in respect of 2015, elections shall be made in writing on an election form provided by the Company. All such elections as to deferral and form of payment are irrevocable. 

	
6.
	
DIRECTORS’ ACCOUNTS 

Deferred cash fees deemed invested in the interest bearing account shall be held in the general funds of the Company and shall be credited to an account in the name of the Director. The deferred fees deemed invested in the interest bearing account will bear interest at a rate corresponding to the average 30-year Treasury securities rate applicable for the quarter (or at such other rate as may be specified by the Committee from time to time). Interest will be compounded quarterly and will also be deferred. If the rate changes, the new rate will apply to all deferred cash amounts beginning with the following quarter. Cash fees deemed invested in the Company stock fund account shall be allocated to each Director’s account based on the closing price of the Company’s common stock as reported on the Composite Tape of the New York Stock Exchange (“Stock Price”) on the date the fees would otherwise have been paid. The Company shall not be required to reserve or otherwise set aside shares of common stock for the payment of its obligations hereunder, but shall make available as and when required a sufficient number of shares of common stock to meet the needs of the Plan. Beginning in 2018, any deferred equity awards will be denominated in the form of Deferred Stock Units granted under The Chemours Company Equity and Incentive Plan (the “Equity and Incentive Plan”).  Deferred Stock Units are notional units (not actual shares of stock), each having a value equal to one share of the Company’s common stock.  The terms and conditions of the Deferred Stock Units, including dividend equivalent rights, will be governed by a Deferred Stock Unit award agreement and the Equity and Incentive Plan.  Upon settlement, one share of Company common stock will be issued for each Deferred Stock Unit, with any fraction thereof being paid in cash. An amount equal to any cash dividends (or the fair market value of dividends paid in property other than dividends payable in common stock of the Company) payable on the number of shares represented by the number of stock units in each Director’s account and/or the Director’s Deferred Stock Units will be allocated, as applicable, to each Director’s stock unit account in the form of additional stock units or, with respect to Deferred Stock Units, as additional Deferred Stock Units, based upon the Stock Price on the dividend payment date. Any stock dividends payable on such number of shares will be allocated in the form of additional stock units 

 

 

or Deferred Stock Units, as applicable. If adjustments are made to outstanding shares of common stock as a result of split-ups, recapitalizations, mergers, consolidations and the like, an appropriate adjustment shall also be made in the number of stock units in a Director’s stock unit account and, in accordance with the Equity and Incentive Plan, in the number of Deferred Stock Units. Neither stock units in a Director’s stock unit account nor Deferred Stock Units shall entitle any person to rights of a stockholder unless and until shares of Company common stock have been issued to that person with respect to the stock units or Deferred Stock Unit, as applicable. 

	
7.
	
PAYMENT FROM DIRECTORS’ ACCOUNTS 

Subject to Section 8, the aggregate amount of deferred fees, together with interest and dividend equivalents accrued thereon, and Deferred Stock Units shall be paid in accordance with the elections made by the Director as provided in Article 5.  Amounts credited to a Director’s account in cash shall be paid in cash and amounts credited in stock units and Deferred Stock Units shall be paid in one share of common stock of the Company for each stock unit or Deferred Stock Unit, as applicable, except that a cash payment will be made with any final installment for any fraction of a stock unit or Deferred Stock Unit remaining in the Director’s account. Such fractional share shall be valued at the closing Stock Price on the date of settlement. 

	
8.
	
PAYMENT IN EVENT OF DEATH 

A Director may file with the Secretary of the Committee a written designation of a beneficiary for his or her account under the Plan on such form as may be prescribed by the Committee, and may, from time to time, amend or revoke such designation. If a Director should die before all deferred amounts credited to the Director’s account have been distributed, the balance of any deferred fees and interest and dividend equivalents then in the Director’s account, together with the Director’s Deferred Stock Units, if any, shall be paid to the Director’s designated beneficiary as soon as practicable after the Director’s death. If the Director did not designate a beneficiary, or in the event that the beneficiary designated by the Director shall have predeceased the Director, the balance in the Director’s account and Deferred Stock Units shall be paid as soon as practicable to the Director’s estate. 

	
9.
	
NONASSIGNABILITY 

During a Director’s lifetime, the right to any Deferred Stock Units or deferred fees, including interest and dividend equivalents thereon, shall not be transferable or assignable, except as may otherwise be provided in rules established by the Committee. 

	
10.
	
GOVERNING LAW  

The validity and construction of the Plan shall be governed by the laws of the State of Delaware. 

	
11.
	
CODE SECTION 409A

To the extent that an amount is payable or a Deferred Stock Unit is settled in connection with a Director’s retirement or other separation from service as Director of the Company, no amounts shall be paid hereunder and no Deferred Stock Units will be settled on account thereof unless such retirement or separation from service constitutes a separation from service within the meaning of 

 

 

Code Section 409A.  To the extent that an amount is payable promptly at the beginning of a calendar year, whether as a result of a Director’s deferral election or the terms of a prior plan document, such amount shall be paid no later than the last day of that calendar year.  Each amount to be paid or benefit to be provided to a Director pursuant to this Plan that constitutes deferred compensation subject to Code Section 409A shall be construed as a separate identified payment for purposes of Code Section 409A.cc-ex103_838.htm

 

 

Exhibit 10.3

AWARD TERMS OF DEFERRED STOCK UNITS 

GRANTED TO A NONEMPLOYEE DIRECTOR 

UNDER THE CHEMOURS COMPANY EQUITY AND INCENTIVE PLAN 

 

 

	
Introduction
	
You have been granted vested Deferred Stock Units (the “Award”) under The Chemours Company Equity and Incentive Plan (the “Equity and Incentive Plan”) in accordance with your Annual Deferral Election Form (the “Deferral Election Form”) under The Chemours Company Stock Accumulation and Deferred Compensation Plan for Directors (the “Deferred Compensation Plan” and, together with the Equity and Incentive Plan, the “Plans”).  The Award is subject to these Award Terms and the terms of the Plans and your Deferral Election Form, which are hereby incorporated by reference.  For purposes of the Equity and Incentive Plan, the Award shall be considered an “Other Stock-Based Award.”  To the extent that an Award Term conflicts with the Plans, the Plans shall govern.  Unless otherwise defined herein, the terms defined in the Equity and Incentive Plan shall have the same defined meanings in these Award Terms, including any appendices to these Award Terms (hereinafter, collectively referred to as the “Agreement”).  A copy of the Deferred Compensation Plan and your Deferral Election Form are available upon request.  A copy of the Equity and Incentive Plan, and related materials, such as the Equity and Incentive Plan prospectus, are available upon request or on the Merrill Lynch website at:

 

	

	
www.benefits.ml.com

 

Date of Grant[        ] (“Date of Grant”)

 

Type of AwardDeferred Stock Units

 

Number of Deferred
Stock Units Awarded[        ]

 

	
Dividend Equivalents
	
Dividends payable on the shares of Stock represented by your Deferred Stock Units (including whole and fractional Deferred Stock Units) will be allocated to your account in the form of additional Deferred Stock Units (whole and fractional) based upon the closing Stock price on the date of the dividend payment.  Any such additional Deferred Stock Units will be subject to the same terms and conditions as the Deferred Stock Units to which they relate.

 

	
Vesting
	
The Award is 100% vested. 

 

	
Shareholder Rights
	
Deferred Stock Units are not shares of Stock.  They represent an unfunded and unsecured right to receive shares of Stock upon settlement.  Until the Deferred Stock Units are settled, you will not have any voting rights, the right to receive dividends (but you will have the right to receive additional Deferred Stock Units to the extent dividends are paid, as described above) or other rights of a shareholder.  

 

	
Settlement
	
The Deferred Stock Units will be settled (meaning one share of Stock will be issued to you or your beneficiary (or estate, if there is no beneficiary), as applicable, for each Deferred Stock Unit, with any fractional Deferred Stock Unit 

 

 

		
paid in cash) on the distribution date or event you elected in your Deferral Election Form, or if earlier, as soon as practicable after your death.  The value of any fractional Deferred Stock Unit will be based on the closing price of a share of Stock on the Deferred Stock Unit settlement date.

 

	
Taxes
	
The Deferred Stock Units are subject to various taxes upon settlement.  For U.S. residents, the Company is not required nor does it withhold taxes relating to the Deferred Stock Units; however, the Company will report proceeds on a Form 1099-MISC.  You are encouraged to consult a tax professional on more specifics.

  

	
Severability
	
The provisions of this Agreement are severable and if any one or more provisions are determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions shall nevertheless be binding and enforceable.

 

	
Waiver
	
You acknowledge that a waiver by the Company of breach of any provision of this Agreement shall not operate or be construed as a waiver of any other provision of this Agreement, or of any subsequent breach of this Agreement.

 

	
Appendix
	
Notwithstanding any provisions in these Award Terms, the Deferred Stock Units shall be subject to the additional terms and conditions set forth in Appendix A to this Agreement and to any special terms and provisions as set forth in Appendix B for your country, if any.  Moreover, if you relocate to one of the countries included in Appendix B, the special terms and conditions for such country will apply to you, to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons.  Appendix A and B constitute part of these Award Terms.

 

	
Imposition of Other
	

	
Requirements
	
The Company reserves the right to impose other requirements on your participation in Plans, on the Deferred Stock Units and on any shares of Stock issued under the Equity and Incentive Plan, to the extent the Company determines it is necessary or advisable for legal or administrative reasons, and to require you to sign any additional agreements or undertakings that may be necessary to accomplish the foregoing.

 

 

 

APPENDIX A

ADDITIONAL TERMS AND CONDITIONS

This Appendix includes additional terms and conditions that govern the Deferred Stock Units. These terms and conditions are in addition to, or, if so indicated, in place of, the terms and conditions set forth in the Award Terms. Capitalized terms used and not otherwise defined herein shall have the meanings ascribed to them in the Award Terms or the Equity and Incentive Plan.

	
Data Privacy
	
You hereby explicitly and unambiguously consent to the collection, use and transfer, in electronic or other form, of your personal data as described in this Agreement and any other Deferred Stock Unit grant materials by and among the Company and its Subsidiaries or Affiliates for the exclusive purpose of implementing, administering and managing your participation in the Plans.

	
 
	
You understand that the Company may hold certain personal information about you, including, but not limited to, your name, home address and telephone number, date of birth, social insurance number or other identification number (e.g., resident registration number), salary, nationality, job title, any stock or directorships held in the Company, details of all Deferred Stock Units or any other entitlement to stock awarded, canceled, exercised, vested, unvested or outstanding in your favor, for the exclusive purpose of implementing, administering and managing the Plans (“Data”).

 

 

	
 
	
You understand that Data will be transferred to any third parties assisting the Company with the implementation, administration and management of the Plans. You understand that the recipients of the Data may be located in the United States or elsewhere, and that the recipients’ country (e.g., the United States) may have different data privacy laws and protections than your country. You understand that you may request a list with the names and addresses of any potential recipients of the Data by contacting the Company’s Corporate Secretary. You authorize the Company, its Subsidiaries and Affiliates, and any other possible recipients which may assist the Company (presently or in the future) with implementing, administering and managing the Plans to receive, possess, use, retain and transfer the Data, in electronic or other form, for the sole purpose of implementing, administering and managing your participation in the Plans. You understand that Data will be held only as long as is necessary to implement, administer and manage your participation in the Plans. You understand that you may, at any time, view Data, request additional information about the storage and processing of Data, require any necessary amendments to Data or refuse or withdraw the consent herein, in any case without cost, by contacting in writing the Company’s Corporate Secretary. Further, you understand that you are providing the consent herein on a purely voluntary basis.  If you do not consent, or if you later seek to revoke your consent, your status or service and career with the Company will not be affected; the only consequence of refusing or withdrawing your consent is that the Company would not be able to grant you Deferred Stock Units or other awards or administer or maintain such awards (i.e., the award would be null and void). Therefore, you understand that refusing or withdrawing 

your consent may affect your ability to participate in the Plans.  For more information on the consequences of your refusal to consent or withdrawal of consent, you understand that you may contact the Company’s Corporate Secretary.

	
Nature of Grant
	
By participating in the Plans, you acknowledge, understand and agree that:

	
 
	
(a)the Plans are established voluntarily by the Company, they are discretionary in nature and may be modified, amended, suspended or terminated by the Company at any time, to the extent permitted by the Plans; (b) the grant of the Deferred Stock Units is voluntary and occasional and does not create any contractual or other right to receive future grants, or benefits in lieu of Deferred Stock Units, even if Deferred Stock Units have been granted in the past; (c) all decisions with respect to future grants of Deferred Stock Units, if any, will be at the sole discretion of the Company; (d) you are voluntarily participating in the Plans; (e) the Deferred Stock Units are not intended to replace any pension rights or compensation; (f) unless otherwise agreed with the Company, the Deferred Stock Units and the shares of Stock subject to the Deferred Stock Units, and the income and value of same, are not granted as consideration for, or in connection with, any service you may provide as a director of a Subsidiary or Affiliate; (g) the Deferred Stock Units and the income and value of same are not part of normal or expected compensation for any purpose including, without limitation, calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments, bonuses, long-service awards, pension or retirement or welfare benefits or similar payments; (h) the future value of the underlying shares of Stock is unknown, indeterminable and cannot be predicted with certainty; (i) for purposes of the Deferred Stock Units, your service relationship will be considered terminated as of the date you are no longer actively providing services to the Company or one of its Subsidiaries or Affiliates (regardless of the reason for such termination and whether or not later found to be invalid or in breach of laws in the jurisdiction where you reside or provide services, and the Committee shall have the exclusive discretion to determine when you are no longer actively providing services for purposes of the Deferred Stock Units (including whether you may still be considered to be providing services while on an approved leave of absence); (j) unless otherwise provided in the Plans or by the Company in its discretion, the Deferred Stock Units and the benefits evidenced by this Agreement do not create any entitlement to have the Deferred Stock Units or any such benefits transferred to, or assumed by, another company nor to be exchanged, cashed out or substituted for, in connection with any corporate transaction affecting the shares of the Company; and (k) neither the Company, nor any Subsidiary or Affiliate shall be liable for any foreign exchange rate fluctuation between your local currency and the U.S. dollar that may affect the value of the Deferred Stock Units or of any amount due to you pursuant to the settlement of the Deferred Stock Units or the subsequent sale of any shares of Stock acquired upon settlement.

 

 

	
No Advice Regarding Grant
	
The Company is not providing any tax, legal or financial advice, nor is the Company making any recommendations regarding your participation in the Plan, or your acquisition or sale of the underlying shares of Stock. You are hereby advised to consult with your own personal tax, legal and financial 

advisors regarding your participation in the Plans before taking any action related to the Plans.

	
Venue
	
Any and all disputes relating to, concerning or arising from this Agreement, or relating to, concerning or arising from the relationship between the parties evidenced by the Deferred Stock Units or this Agreement, shall be brought and heard exclusively in the United States District Court for the District of Delaware or the Delaware Superior Court, New Castle County. Each of the parties hereby represents and agrees that such party is subject to the personal jurisdiction of said courts; hereby irrevocably consents to the jurisdiction of such courts in any legal or equitable proceedings related to, concerning or arising from such dispute, and waives, to the fullest extent permitted by law, any objection which such party may now or hereafter have that the laying of the venue of any legal or equitable proceedings related to, concerning or arising from such dispute which is brought in such courts is improper or that such proceedings have been brought in an inconvenient forum.

	
Language
	
If you have received this Agreement or any other document related to this Agreement translated into a language other than English and if the meaning of the translated version is different than the English version, the English version will control.

	
Electronic Delivery and Acceptance
	
The Company may, in its sole discretion, decide to deliver any documents related to current or future participation in the Plans by electronic means. You hereby consent to receive such documents by electronic delivery and agree to participate in the Plans through an on-line or electronic system established and maintained by the Company or a third party designated by the Company.

	
Insider Trading/Market Abuse Laws
	
You acknowledge that, depending on your country of residence, you may be subject to insider trading restrictions and/or market abuse laws, which may affect your ability to acquire or sell shares of Stock or rights to shares of Stock (e.g., Deferred Stock Units) under the Plans during such times as you are considered to have “inside information” regarding the Company (as defined by the laws in your country). Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under the Company’s insider trading policy.  You acknowledge that it is your responsibility to comply with any applicable restrictions, and you are advised to speak to your personal advisor on this matter.

	
Foreign Asset/ Account Reporting Requirements
	
Your country may have certain foreign asset and/or account reporting requirements which may affect your ability to acquire or hold shares of Stock under the Plans or cash received from participating in the Plans (including from any sale proceeds arising from the sale of shares of Stock) in a brokerage or bank account outside your country.  You may be required to report such accounts, assets or transactions to the tax or other authorities in your country.  You also may be required to repatriate sale proceeds or other funds received as a result of your participation in the Plans to your country through a designated bank or broker and/or within a certain time after receipt. You acknowledge that it is your responsibility to comply with such regulations, and you should consult your personal legal advisor for any details.

 

 

 

APPENDIX B

COUNTRY-SPECIFIC TERMS AND CONDITIONS

This Appendix includes additional terms and conditions that govern the Deferred Stock Units granted to you under the Plans if you reside in one of the countries listed herein. These terms and conditions are in addition to, or if so indicated, in place of the terms and conditions set forth in the Award Terms or Appendix A.

You should be aware that local exchange control laws may apply to you as a result of your participation in the Plans. By accepting the Deferred Stock Units, you agree to comply with applicable exchange control laws associated with your participation in the Plans.  If you have any questions regarding your responsibilities in this regard, you agree to seek advice from your personal legal advisor, at your own cost, and further agree that neither the Company nor any Subsidiary or Affiliate will be liable for any fines or penalties resulting from your failure to comply with applicable laws.

If you are a citizen or resident of a country other than the one in which you are currently working or are considered a resident of another country for local law purposes, the terms and conditions contained herein may not be applicable to you, and the Company shall, in its discretion, determine to what extent the terms and conditions contained herein shall apply to you.

CANADA

Deferred Stock Units Settled in Shares Only.  Notwithstanding any discretion contained in Section 6(b)(iii) of the Equity and Incentive Plan, or any provision in this Agreement to the contrary, Deferred Stock Units granted to you in Canada will be settled in shares of Stock only.

Securities Law Information.  You are permitted to sell shares of Stock acquired under the Award through a broker acceptable to the Company, provided the resale of shares of Stock acquired under the Award takes place outside of Canada through the facilities of a stock exchange on which the shares of Stock are listed.  The shares of Stock are currently listed on the New York Stock Exchange.

 

 

 

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