Document:

QuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10(s)  

 
 

SECOND AMENDED AND RESTATED TENET HEALTHCARE CORPORATION
  2001 STOCK INCENTIVE PLAN    
    

1.     Purpose of the Plan.  

        The purpose of the Second Amended and Restated Tenet Healthcare Corporation 2001 Stock Incentive Plan is to promote the interests of the Company and its
shareholders by strengthening the Company's ability to attract, motivate and retain Employees, Directors, advisors and consultants of training, experience and ability, and to provide a means to
encourage stock ownership and a proprietary interest in the Company to Directors, officers and valued Employees of the Company and consultants and advisors to the Company upon whose judgment,
initiative, and efforts the financial success and growth of the business of the Company largely depend. 

2.     Definitions. 

        (a)   "Affiliate"
shall have the meaning ascribed to such term in Rule 12b-2 of the General Rules and Regulations under the Exchange Act. 

        (b)   "Annual
Retainer" means the annual retainer for Directors established by the Committee or the Board from time to time, but does not include meeting fees and committee
fees. 

        (c)   "Appreciation
Right" means an award made under Section 9. 

        (d)   "Associate"
shall have the meanings ascribed to such term in Rule 12b-2 of the General Rules and Regulations under the Exchange Act. 

        (e)   "Board"
means the Board of Directors of the Company. 

        (f)    "Business
Unit" means any facility, region, division, group, subsidiary or other unit within the Company that is designated by the Committee to constitute a Business
Unit. 

        (g)   "Change
in Control" of the Company means a Person, alone or together with its Affiliates and Associates, becoming the beneficial owner of 20% or more of the general
voting power of the Company or any Person making a filing under Sections 13(d) or 14(d) of the Exchange Act with respect to the Company which discloses an intent to acquire control of the Company in a
transaction or series of transactions not approved by the Board. 

        (h)   "Code"
means the Internal Revenue Code of 1986, as amended, and any successor statute and the regulations promulgated thereunder, as it or they may be amended from time
to time. 

        (i)    "Committee"
means the Compensation Committee of the Board, unless the Board appoints another committee to administer the Plan. 

        (j)    "Common
Stock" means the $0.075 par value Common Stock of the Company. 

        (k)   "Company"
means Tenet Healthcare Corporation, a Nevada corporation. 

        (l)    "Director"
means a member of the Board of the Company who is not an Employee or a former Employee who is receiving severance or retirement benefits (other than under the
Tenet Healthcare Corporation Amended and Restated Supplemental Executive Retirement Plan, as it may be amended from time to time) from the Company or any of its present or future Business Units. 

        (m)  "Eligible
Person" means an Employee, Director, advisor or consultant of the Company or any of its present or future Business Units. 

        (n)   "Employee"
means any executive officer or other employee of the Company, or of any of its present or future Business Units. 

 

        (o)   "Exchange
Act" means the Securities Exchange Act of 1934, as amended from time to time or any successor statute. 

        (p)   "Fair
Market Value" means the closing price of a share of Common Stock on the New York Stock Exchange on the date as of which fair market value is to be determined or
the actual sale price of the shares acquired upon exercise if the shares are sold in a same day sale, or if no sales were made on such date, the closing price of such shares on the New York Stock
Exchange on the next preceding date on which there were such sales. 

        (q)   "Incentive
Award" means an Option, Restricted Stock, an Appreciation Right, a Performance Unit, a Restricted Unit, a Section 162(m) Award or a cash bonus award
granted under the Plan. 

        (r)   "Incentive
Stock Option" means an Option intended to qualify under Section 422 of the Code and the Treasury regulations thereunder. 

        (s)   "Option"
means an Incentive Stock Option or a nonqualified stock option. 

        (t)    "Participant"
means any Eligible Person selected to receive an Incentive Award pursuant to Section 5. 

        (u)   "Plan"
means the Second Amended and Restated Tenet Healthcare Corporation 2001 Stock Incentive Plan as set forth herein, as it has been or may be amended and/or restated
from time to time. 

        (v)   "Performance
Criterion" or "Performance Criteria" means any one or more of the following performance measures, taken alone or in conjunction with each other, each of
which may be adjusted by the Committee to exclude the before-tax or after-tax effects of any significant acquisitions or dispositions not included in the calculations made in
connection with setting the Performance Criterion or Performance Criteria for the relevant Incentive Award: 

        (1)   Basic
or diluted earnings per share of common stock, which may be calculated as (A) income calculated in accordance with Section 2(v)(4), divided by
(x) the weighted average number of shares, in the case of basic earnings per share, and (y) the weighted average number of shares and shares equivalents of common stock, in the case of
diluted earnings per share, or (B) using a method as may be specified by the Committee; 

        (2)   Cash
flow, which may be calculated or measured in a manner specified by the Committee; 

        (3)   Economic
value added, which is after-tax operating profit less the annual total cost of capital, which may be calculated or measured in a manner specified by
the Committee; 

        (4)   Income,
which may include, without limitation, net income and operating income and may be calculated or measured (A) before or after income taxes, including or
excluding interest, depreciation and amortization, minority interests, extraordinary items and other material non-recurring items, discontinued operations, the cumulative effect of changes
in accounting policies and the effects of any tax law changes; or (B) using a method as may be specified by the Committee; 

        (5)   Quality
of service and/or patient care, which may be measured by (A) the extent to which the Company achieves pre-set quality objectives including,
without limitation, patient satisfaction objectives, or (B) a method as may be specified by the Committee; 

        (6)   Return
measures (including, but not limited to, return on assets, capital, equity, or sales), which may be calculated or measured in a manner specified by the Committee;
or 

        (7)   The
price of the Common Stock or the Company's preferred stock. (including, but not limited to, growth measures and total shareholder return) which may be calculated or
measured in a manner specified by the Committee. 

2

 

        (w)  "Performance
Goals" means the performance objectives with respect to one Performance Criterion or two or more Performance Criteria established by the Committee for the
Company, a Business Unit or an individual for the purpose of determining whether, and the extent to which, a Section 162(m) Award will be awarded or paid. 

        (x)   "Performance
Unit" means a grant made under Section 10. 

        (y)   "Person"
means an individual, firm, corporation or other entity or any successor to such entity, but "Person" shall not include the Company, any subsidiary of the
Company, any employee benefit plan or employee stock plan of the Company, or any Person organized, appointed, established or holding Voting Stock by, for or pursuant to the terms of such a plan or any
Person who acquires 20% or more of the general voting power of the Company in a transaction or series of transactions approved prior to such transaction or series of transactions by the Board. 

        (z)   "Restricted
Stock" means an award of shares of Common Stock made under Section 8. 

        (aa) "Restricted
Unit" means an award made under Section 11. 

        (bb) "Section 162(m)"
means Section 162(m) of the Code and regulations and governmental interpretations thereunder. 

        (cc) "Section 162(m)
Award" means a grant of Options, Restricted Stock, Performance Units or Restricted Units meeting the requirements of Code Section 162(m). 

        (dd) "Voting
Stock" means shares of the Company's capital stock having general voting power, with "voting power" meaning the power under ordinary circumstances (and not
merely upon the happening of a contingency) to vote in the election of directors. 

3.     Shares of Common Stock Subject to the Plan. 

        (a)   Subject
to the provisions of Section 3(d) and Section 14, the aggregate number of shares of Common Stock that may be issued under the Plan is 40,000,000
shares of Common Stock. 

        (b)   Notwithstanding
anything in the Plan to the contrary, the aggregate number of shares of Common Stock that may be issued to settle grants of Restricted Stock,
Appreciation Rights, Performance Units and Restricted Units under the Plan shall not exceed 4,000,000 shares. 

        (c)   The
shares of Common Stock to be delivered under the Plan will be made available, at the discretion of the Board or the Committee, either from authorized but unissued
shares of Common Stock or from previously issued shares of Common Stock reacquired by the Company, including shares purchased on the open market. 

        (d)   If
any share of Common Stock that is the subject of an Incentive Award is not issued or transferred and ceases to be issuable or transferable for any reason, such share
of Common Stock will no longer be charged against the limitations provided for in Section 3(a) and (b) and may again be made subject to Incentive Awards. Shares as to which an Option has
been surrendered in connection with the exercise of a related Appreciation Right, however, will not again be available for the grant of any further Incentive Awards. Incentive Awards shall not be
applied against the limitations provided for in Section 3(a) and 3(b) to the extent they are paid out in cash and not in Common Stock. 

4.     Administration of the Plan. 

        (a)   The
Plan will be administered by the Committee, which will consist of two or more persons (1) who satisfy the requirements of a "Non-Employee
Director" for purposes of Rule 16b-3 under the Exchange Act, and (2) who satisfy the requirements of an "outside director" for purposes of Section 162(m). 

3

 

        (b)   The
Committee has and may exercise such powers and authority of the Board as may be necessary or appropriate for the Committee to carry out its functions as described in
the Plan. The Committee has authority in its discretion to determine the Eligible Persons to whom, and the time(s) at which, Incentive Awards may be granted and the number of shares, units, or
Appreciation Rights subject to each Incentive Award. The Committee has authority to interpret the Plan, to make determinations as to whether a Participant or a Director is permanently and totally
disabled, and to determine the terms and provisions of Incentive Awards. The Committee has authority to make all other determinations necessary or advisable for Plan administration and to prescribe
and rescind rules and regulations relating to the Plan. All interpretations, determinations, and actions by the Committee will be final, conclusive, and binding upon all parties. 

        (c)   No
member of the Board or the Committee will be liable for any action or determination made in good faith by the Board or the Committee with respect to the Plan or any
Incentive Award under it. 

5.     Eligibility. 

        (a)   All
Employees who have been determined by the Committee to be key Employees and all consultants and advisors to the Company, or to any Business Unit, present or future,
that have been determined by the Committee to be key consultants or advisors are eligible to receive Incentive Awards under the Plan; provided, however, that only Employees who have been determined by
the Committee to be key Employees of the Company or any subsidiary corporation (within the meaning of Section 424(f) of the Code) shall be eligible to receive Incentive Stock Options under the
Plan. 

        (b)   All
Directors are eligible to receive Options in accordance with Section 7. 

        (c)   No
person will be eligible for the grant of any Incentive Stock Option who owns or would own immediately after the grant of such Option, directly or indirectly, stock
possessing more than 10 percent of the total combined voting power of all classes of stock of the Company or of any subsidiary corporation (within the meaning of Section 424(f) of the
Code). This does not apply if, at the time such Incentive Stock Option is granted, the Incentive Stock Option price is at least 110% of the Fair Market Value of the Common Stock on the date of the
grant. In this event, the Incentive Stock Option is not exercisable after the expiration of five years from the date of grant. 

        (d)   The
Committee has authority, in its sole discretion, to determine and designate from time to time those Eligible Persons who are to be granted Incentive Awards, and the
type and amount of Incentive Award to be granted. Each Incentive Award will be evidenced by a written instrument and may include such other terms and conditions consistent with the Plan as the
Committee may determine. 

6.     Terms and Conditions of Options. 

        (a)   The
exercise price per share for each Option, including Options granted to Directors under Section 7, will be at least equal to the Fair Market Value of the
Common Stock on the date of grant. Once an Option has been granted, (i) the exercise price per share for that Option may not be reduced, and (ii) that Option may not be cancelled and
reissued, without shareholder approval, except as provided in Section 14. 

        (b)   Options
shall vest and be exercised as determined by the Committee, but in no event may an Option be exercisable after 10 years from the date of grant. 

4

 

        (c)   The
exercise price of an Option, including an Option granted to a Director under Section 7, and any federal and state withholding obligation resulting from the
exercise of such Option, will be payable in full (1) upon exercise, in cash, (2) by the Participant irrevocably authorizing a broker approved in writing by the Company to sell shares of
Common Stock acquired through exercise of the Option and remitting to the Company a sufficient portion of the sale proceeds to pay the entire exercise price and any federal and state withholding
resulting from such exercise (a "cashless exercise"); provided that, notwithstanding anything in this Plan to the contrary, (A) the Company shall issue such shares of Common Stock only at or
after the time the Company receives full payment for such shares, (B) the exercise price for such shares of Common Stock will be due and payable to the Company no later than one business day
following the date on which the proceeds from the sale of the underlying shares of Common Stock are received by the authorized broker, and (C) in no event will the Company directly or
indirectly extend or maintain credit, arrange for the extension of credit or renew any extension of credit, in the form of a personal loan or otherwise, in connection with a cashless exercise,
(3) in the discretion of the Committee, upon exercise, by the assignment and delivery to the Company of shares of Common Stock owned by the Participant, or (4) by a combination of any of
the above. Any shares assigned and delivered to the Company in payment or partial payment of the exercise price will be valued at the Fair Market Value on the exercise date and shall be accompanied by
an assignment separate from certificate and any other document(s) reasonably requested by the Company. 

        (d)   With
respect to Incentive Stock Options granted under the Plan, the aggregate Fair Market Value (determined as of the date the Incentive Stock Option is granted) of the
number of shares with respect to which Incentive Stock Options are exercisable for the first time by an Employee during any calendar year (under the Plan or any other plan of the Company or a
subsidiary corporation (within the meaning of Section 424(f) of the Code)) shall not exceed one hundred thousand dollars ($100,000) or such other limit as may be set forth in the Code. 

        (e)   No
fractional shares will be issued pursuant to the exercise of an Option, including Options granted to Directors under Section 7, nor will any cash payment be
made in lieu of fractional shares. 

        (f)    With
respect to the exercise of an Option under the Plan, the Participant may, in the discretion of the Committee, receive a replacement Option under the Plan to
purchase a number of shares of Common Stock equal to the number of shares of Common Stock, if any, that the Participant delivered on exercise of the Option, with a purchase price equal to the Fair
Market Value on the exercise date and with a term extending to the expiration date of the original Option. 

        (g)   All
Incentive Stock Options shall be granted within 10 years from the date this Plan is adopted or is approved by the shareholders, whichever is earlier. 

7.     Terms and Conditions of Options Granted to Directors.  

        (a)   The
Board shall determine in its discretion the Directors to whom, and the time(s) at which, Options may be granted to Directors and the number of shares subject to such
Option grants. 

        (b)   Each
Option will be evidenced by a written instrument, which shall include such terms and conditions consistent with this Plan as the Committee may determine. 

        (c)   Options
granted to Directors shall vest as determined by the Board, in its discretion, and may vest immediately upon grant. 

5

 

        (d)   A
Director may make an election (i) upon being elected to the Board, within 30 days from the date he/she is notified that he/she is eligible to make the
election, and (ii) between November 1 and December 15 of each year, to convert all or a portion of his/her Annual Retainer for the following calendar year into Options; provided,
however, that at the time the Director makes such an election, the Director meets the Company's stock ownership guidelines for Directors established by the Board from time to time. 

        (1)   Unless
otherwise determined by the Board, on the day that a Director who has elected to convert all or a portion of his/her Annual Retainer into Options otherwise would
have received payment of a portion of the Annual Retainer, the Director shall receive a number of Options equal to (x) four times the amount of the Annual Retainer to be converted into Options
on such date divided by (y) the Fair Market Value of the Common Stock on such date. 

        (2)   Unless
otherwise determined by the Board, Options granted under this Section 7(d) shall vest immediately and shall have a term of ten years. 

        (3)   A
Director shall not transfer or otherwise dispose of the shares acquired upon exercising an Option granted under this Section 7(d) earlier than one year
following the date of the exercise (except that a Director may dispose of a number of shares sufficient to pay the exercise price and any taxes withheld in connection with such exercise). 

        (e)   If
a non-executive Director is removed from office by the Company's shareholders, is not nominated for reelection by the Board or is nominated by the Board
but is not reelected by the Company's shareholders, then the Options granted hereunder will expire one year after the date of removal or failure to be elected unless by their terms they expire sooner. 

        (f)    If
the Director retires at or after age 65, or retires prior to age 65 with the consent of the Committee, the Options granted hereunder will continue to vest, be
exercisable and expire in accordance with their terms. 

        (g)   If
the Director dies or becomes permanently and totally disabled while serving in such capacity, the Options granted hereunder will expire five years after the date of
death or permanent and total disability unless by their terms they expire sooner. 

        (h)   If
the Director dies or becomes permanently and totally disabled within the one-year period referred to in Section 7(e), the Options granted hereunder
will expire one year after the date of death or permanent and total disability unless by their terms they expire sooner. If the Director dies or becomes permanently and totally disabled within the
five-year period referred to in Section 7(g), the Options granted hereunder will expire upon the later of the end of such five-year period or one year after the date of
death or permanent and total disability unless by their terms they expire sooner. 

8.     Terms and Conditions of Restricted Stock.  

        (a)   The
Committee shall determine in its discretion the vesting period and any additional restrictions and conditions for Restricted Stock. 

        (b)   Restricted
Stock shall consist of Common Stock and shall be represented by stock certificates registered in the name of the Participant. The Participant shall have all
rights of a shareholder prior to the vesting of a grant of Restricted Stock, including the right to vote the shares and receive all dividends and other distributions paid or made with respect thereto. 

        (c)   Unless
otherwise determined by the Committee, Restricted Stock may not be transferred, assigned or made subject to any encumbrance, pledge or charge until such
Restricted Stock has vested and any other restrictions or conditions on such Restricted Stock are removed, have been satisfied or expire. 

6

 

        (d)   The
certificates representing a grant of Restricted Stock will remain in the physical custody of the Company until such Restricted Stock has vested and any other
restrictions or conditions on such Restricted Stock are removed, have been satisfied or expire. 

        (e)   The
Committee may impose such other conditions on any Restricted Stock granted pursuant to the Plan as it may deem advisable, including, without limitation, restrictions
under the Securities Act of 1933, as amended, under the requirements of any stock exchange on which the Common Stock is then listed and under any blue sky or other securities laws applicable to such
Restricted Stock. 

        (f)    Restricted
Stock with vesting tied to a Performance Criterion or Performance Criteria shall have a minimum vesting period of at least one year. All other Restricted
Stock shall have a minimum vesting period of at least three years. 

9.     Terms and Conditions of Appreciation Rights.  

        (a)   The
Committee may grant an Appreciation Right in connection with or without relationship to an Option. An Appreciation Right granted with relationship to an Option may
be granted at the time the Option is granted or at any time thereafter during the term of the Option. 

        (b)   An
Appreciation Right granted in connection with an Option will entitle the holder, upon exercise, to surrender such Option or any portion thereof, to the extent
unexercised, with respect to the number of shares as to which such Appreciation Right is exercised, and to receive payment of an amount computed pursuant to Section 9(d). Such Option will cease
to be exercisable to the extent and when surrendered. 

        (c)   Subject
to Section 9(h), an Appreciation Right granted in connection with an Option hereunder will be exercisable at such time or times, and only to the extent,
that a related Option is exercisable, will expire no later than the related Option expires and will not be transferable except to the extent that such related Option may be transferable. 

        (d)   Upon
the exercise of an Appreciation Right granted in connection with an Option, the holder will be entitled to receive, at the Committee's discretion, (1) a cash
payment determined by multiplying (A) the difference obtained by subtracting (i) the exercise price of the related Option from (ii) the Fair Market Value of a share of Common
Stock on the date of exercise of such Appreciation Right, by (B) the number of shares as to which such Appreciation Right is being exercised, or (2) a number of whole shares of Common
Stock determined by dividing (A) the dollar amount calculated in (1) above by (B) the Fair Market Value of a share of Common Stock on the date of exercise of such Appreciation
Right. 

        (e)   An
Appreciation Right granted without relationship to an Option will be exercisable for the period of time determined by the Committee, which shall not exceed
10 years from the date of grant. 

        (f)    An
Appreciation Right granted without relationship to an Option will specify the number of shares to which it relates and will entitle the holder, upon exercise of the
Appreciation Right, to receive, at the Committee's discretion, (1) a cash payment of an amount determined by multiplying (A) the difference obtained by subtracting (i) the amount
assigned to the Appreciation Right by the Committee on the date of grant (which shall not be less than the Fair Market Value of a share of Common Stock on the date of grant) from (ii) the Fair
Market Value of a share of Common Stock on the date of exercise of such Appreciation Right, by (B) the number of shares as to which such Appreciation Right will have been exercised, or
(2) a number of whole shares of Common Stock determined by dividing (A) the dollar amount calculated in (1) above by (B) the Fair Market Value of a share of Common Stock on
the date of exercise of such Appreciation Right. 

7

 

        (g)   At
the time an Appreciation Right is granted, the Committee may determine the maximum amount payable with respect to such Appreciation Right; provided, however, that
such maximum amount shall in no event be greater than the amount determined in accordance with Section 9(d) or 9(f), as the case may be. 

        (h)   An
Appreciation Right granted in connection with an Incentive Stock Option may be exercised only when the market price of the Common Stock subject to the Incentive Stock
Option exceeds the exercise price set forth in the Incentive Stock Option. 

10.   Terms and Conditions of Performance Units.  

        (a)   The
value of Performance Units may be measured in whole or in part by the value of shares of Common Stock, the performance of the Participant, the performance of the
Company or any Business Unit or any combination thereof. Such Performance Unit shall be payable in cash and/or shares of Common Stock as determined by the Committee. 

        (b)   At
the time of a Performance Unit grant, the Committee shall determine a performance period applicable to the Performance Unit, one or more Performance Goals to be
achieved during the applicable performance period and a schedule indicating the value of a Performance Unit at various levels of performance relative to the Performance Goal(s). No performance period
shall be less than one year nor shall it exceed 10 years from the date of the grant. At the end of the applicable performance period, the Committee shall determine the extent to which a
Performance Goal(s) have been attained in order to establish the amount of cash payment to be made, or the number of shares of Common Stock to be issued, if any. The number of shares of Common Stock
issued upon attainment of a Performance Goal(s) shall be determined by dividing the value of the Performance Unit by the Fair Market Value of a share of Common Stock on the date such payment is to be
made. 

        (c)   The
Performance Goals applicable to a Performance Unit grant may be subject to such later revisions as the Committee shall deem appropriate to reflect significant
unforeseen events such as changes in laws, regulations or accounting practices, or unusual or nonrecurring items or occurrences. 

        (d)   Performance
Units shall be subject to such other restrictions and conditions as the Committee shall determine. 

11.   Terms and Conditions of Restricted Units. 

        (a)   Restricted
Units may be granted under the Plan based on a Participant's continued employment with the Company. Such Restricted Unit shall be payable in cash and/or
shares of Common Stock as determined by the Committee. 

        (b)   At
the time a Restricted Unit is granted, the Committee shall determine the vesting period. No vesting period shall be less than three years nor greater than
10 years from the date of the grant. The Committee may establish a maximum value for a Restricted Unit at the time of grant. 

        (c)   If
the Restricted Unit is payable in cash, a cash amount equivalent in value to the Fair Market Value of one share of Common Stock on the last day of the vesting period,
subject to any maximum value determined by the Committee at the time of grant, shall be paid with respect to each such Restricted Unit granted to a Participant. If the Restricted Unit is payable in
shares of Common Stock, one share of Common Stock, subject to any maximum value determined by the Committee at the time of grant, shall be issued with respect to each such Restricted Unit granted to
the Participant. 

        (d)   A
Restricted Unit grant may be made subject to such later revisions as the Committee shall deem appropriate to reflect significant unforeseen events such as changes in
laws, regulations or accounting practices, or unusual or nonrecurring items or occurrences. 

8

 

        (e)   Restricted
Units shall be subject to such other restrictions and conditions as the Committee shall determine. 

12.   Section 162(m) Awards. 

        Without
limiting the generality of the foregoing, Restricted Stock, Performance Units and Restricted Units referred to in Sections 8, 10 and 11, respectively, may be granted as awards
that satisfy the additional requirements of this Section 12 so as to qualify for exemption as "performance-based compensation" within the meaning of Section 162(m). Any such award shall
be designated as a Section 162(m) Award at the time of grant. 

        (a)   Eligible Class. The eligible class of persons for Section 162(m) Awards shall be all Eligible Persons. 

        (b)   Performance Goals. A Participant's right to receive any payment with respect to an Incentive Award designated as a
Section 162(m) Award shall be determined by the degree Performance Goal(s) is/are achieved. The specific Performance Goal(s) with respect to a Section 162(m) Award must be established by
the Committee in accordance with Section 162(m). Notwithstanding anything in the Plan to the contrary (other than Section 14(d)), as and to the extent required by Section 162(m),
the Performance Goal(s) must state, in terms of an objective formula or standard, the method of computing the amount of compensation payable to the Participant if the Performance Goal(s) is attained,
and must not allow the Committee nor the Board to use its discretion to increase the amount of compensation payable that otherwise would be due upon attainment of the Performance Goal(s). 

        (c)   Committee Certification. Before any Section 162(m) Award is paid to a Participant, the Committee must certify in
writing (by resolution or otherwise) that the applicable Performance Goal(s) and any other material terms of the Section 162(m) Award were satisfied; provided, however, that a
Section 162(m) Award may be paid without regard to the satisfaction of the applicable Performance Goal(s) (and the requirements of Section 162(m)) in the event of a Change in Control as
provided in Section 14(d). 

        (d)   Terms And Conditions of Awards; Committee Discretion to Reduce Awards. The Committee shall have discretion to determine
the conditions, restrictions or other limitations, in accordance with the terms of this Plan and Section 162(m), on the payment of individual Section 162(m) Awards. Unless otherwise
provided in a Section 162(m) Award agreement, the Committee reserves the right to reduce the amount otherwise payable under a Section 162(m) Award on any basis (including the Committee's
discretion). 

        (e)   Adjustments For Material Changes. As and to the extent permitted by Section 162(m), in the event of (1) a
change in corporate capitalization, a corporate transaction or a complete or partial corporate liquidation, or (2) any extraordinary gain or loss or other event that is treated for accounting
purposes as an extraordinary item under generally accepted accounting principles, or (3) any material change in accounting policies or practices affecting the Company and/or the Performance
Goal(s), then, to the extent any of the foregoing events was not anticipated at the time the Performance Goal(s) was established, the Committee may make adjustments to the Performance Goal(s), based
solely on objective criteria, so as to neutralize the effect of the event on the applicable Section 162(m) Award. 

9

 

        (f)    Interpretation. It is the intent of the Company that the Section 162(m) Awards satisfy, and be interpreted in a
manner that satisfy, the applicable requirements of Section 162(m), including the requirements for performance-based compensation under Section 162(m)(4)(C), so that the Company's tax
deduction for remuneration in respect of such an award for services performed by employees of the Company who are subject to Section 162(m) is not disallowed in whole or in part by the
operation of such Code section. If any provision of this Plan otherwise would frustrate or conflict with the intent expressed in this Section 12, that provision, to the extent possible, shall
be interpreted and deemed amended so as to avoid such conflict. To the extent of any remaining irreconcilable conflict with such intent, such provision shall be deemed void as applicable to such
employees with respect to whom such conflict exists. Nothing herein shall be interpreted so as to preclude any Eligible Person from receiving an award that is not a Section 162(m) Award. 

13.   Limits on Awards.  

        The maximum number of shares of Common Stock or stock units underlying Incentive Awards that may be granted to any Eligible Person during any period of five
consecutive fiscal years of the Company, beginning with fiscal year 2002, shall not exceed an average of 1,000,000 shares per year, either individually or in the aggregate, with respect to all such
types of awards, with such number of shares subject to adjustment on the same basis as provided in Section 14. To the extent required by Section 162(m), awards subject to the foregoing
limit that are cancelled shall not again be available for grant under this limit. The maximum dollar amount of cash compensation in respect of Performance Units that may be paid to any Eligible Person
during any period of five consecutive fiscal years of the Company, beginning with fiscal year 2002, shall not exceed an annual average of $5,000,000. 

14.   Adjustment Provisions. 

        (a)   Subject
to Section 14(b), if the outstanding shares of Common Stock of the Company are increased, decreased, or exchanged for a different number or kind of shares
or other securities, or if additional shares or new or different shares or other securities are distributed with respect to such shares of Common Stock, through merger, consolidation, spin off, sale
of all or substantially all the property of the Company, reorganization, recapitalization, reclassification, stock dividend, stock split, reverse stock split or other distribution with respect to such
shares of Common Stock, or other securities, the Committee may make an appropriate and proportionate adjustment in (1) the maximum number and kind of shares provided in Section 3,
(2) the maximum number and kind of shares provided in Section 13, (3) the number and kind of shares, units, or other securities subject to then-outstanding Incentive
Awards, and (4) the exercise or other price for each share or unit subject to then-outstanding Incentive Awards without change in the aggregate purchase price or value as to which
such Incentive Awards remain exercisable or subject to restrictions. 

        (b)   Notwithstanding
the provisions of Section 14(a), upon dissolution or liquidation of the Company or upon a reorganization, merger, or consolidation of the Company
with one or more corporations as a result of which the Company is not the surviving corporation or survives as a subsidiary of another corporation, or upon the sale of all or substantially all the
property of the Company, all Incentive Awards then outstanding under the Plan will be fully vested and exercisable and all restrictions will immediately cease, unless provisions are made in connection
with such transaction for the continuance of the Plan or the assumption or the substitution for such Incentive Awards of new incentive awards covering the stock of a successor corporation, or a parent
or subsidiary thereof, with appropriate adjustments as to the number and kind of shares and prices. 

        (c)   Adjustments
under Sections 14(a) and (b) will be made by the Committee, whose determination as to what adjustments will be made and the extent thereof will be
final, binding and conclusive. No fractional interest will be issued under the Plan on account of any such adjustments. 

10

 

        (d)   Notwithstanding
any provision herein to the contrary, in the event a Change of Control occurs, (1) all Options held by Directors will be fully vested and any
restrictions upon exercise in Section 7 will immediately cease, and (2) the Committee may, in its sole discretion, without obtaining shareholder approval, take any one or more of the
following actions with respect to all Participants other than Directors: 

        (A)  Accelerate
the vesting and/or performance periods of, or where applicable make fully payable, any outstanding Incentive Awards; 

        (B)  Determine
that all or any portion of conditions and/or restrictions associated with any Incentive Award have been met; 

        (C)  Grant
a cash bonus award to any of the holders of outstanding Options, except the holders of outstanding Options that meet the requirements of Section 162(m); 

        (D)  Grant
Appreciation Rights to holders of outstanding Options; 

        (E)  Pay
cash to any or all Option holders in exchange for the cancellation of their outstanding Options; 

        (F)  Make
any other adjustments or amendments to the Plan and outstanding Incentive Awards and substitute new Incentive Awards. 

15.   General Provisions. 

        (a)   Nothing
in the Plan or in any instrument executed pursuant to the Plan will confer upon any Participant who is an Employee, Director, consultant or advisor any right to
continue in the employ or service of the Company or any of its subsidiaries or affect the right of the Company to terminate the employment of any Employee, terminate the consulting or advisory
services of any Participant at any time with or without cause, or the right of the Company's shareholders to remove any Director from office in accordance with the Company's Bylaws. 

        (b)   No
shares of Common Stock will be issued or transferred pursuant to an Incentive Award unless and until all then-applicable requirements imposed by federal
and state securities and other laws, rules and regulations and by any regulatory agencies having jurisdiction, and by any stock exchanges upon which the Common Stock may be listed, have been fully
met. As a condition precedent to the issuance of shares pursuant to the grant or exercise of an Incentive Award, the Company may require the Participant to take any reasonable action to meet such
requirements. 

        (c)   No
Participant and no beneficiary or other person claiming under or through such Participant will have any right, title or interest in or to any shares of Common Stock
allocated or reserved under the Plan or subject to any Incentive Award except as to such shares of Common Stock, if any, that have been issued or transferred to such Participant. 

        (d)   The
Company shall have the right to deduct from any settlement, including the delivery or vesting of Incentive Awards, made under the Plan any federal, state or local
taxes of any kind required by law to be withheld with respect to such payments or take such other action as may be necessary in the opinion of the Company to satisfy all obligations for the payment of
such taxes. With respect to an Incentive Award, the Committee may, in its discretion, permit the Participant to satisfy, in whole or in part, any tax withholding obligation which may arise in
connection with the exercise of the Incentive Award by electing to have the Company withhold shares of Common Stock having a Fair Market Value equal to the amount of the tax withholding. 

11

 

        (e)   Except
with the prior written consent of the Committee, Incentive Awards granted under the Plan, shall not be transferable other than (1) by will or the laws of
descent and distribution, (2) pursuant to a qualified domestic relations order as defined by the Code or Title I of the Employee Retirement Income Security Act, or the rules thereunder, or
(3) by gift, and not for value, during the Participant's lifetime to a revocable trust that has the same taxpayer identification number as the Participant and of which the Participant is the
trustee, but only if such gift (A) would not result in the Company losing all or any part of the tax deduction to which it would be entitled, (B) does not otherwise adversely affect the
interests of the Company as determined by the Committee, and (C) complies with all rules and regulations regarding such gifts established by the Company from time to time. The Committee in its
own discretion may permit other transfers of Incentive Awards and may establish guidelines pursuant to which other transfers will be permissible. 

        (f)    The
forms of Incentive Awards granted under the Plan may contain such other provisions as the Committee may deem advisable. 

16.   Termination of Incentive Awards  

        (a)   Unless
otherwise determined by the Committee, an Appreciation Right or an Option held by a person who was an Employee at the time such Appreciation Right or Option was
granted will expire immediately if and when such person ceases to be an Employee, except as follows: 

        (1)   If
the employment of an Employee is terminated by the Company other than for cause, for which the Company will be the sole judge, then the Appreciation Rights and
Options will expire three months thereafter unless by their terms they expire sooner. During said period, the Appreciation Rights and Options may be exercised in accordance with their terms, but only
to the extent exercisable on the date of termination of employment. 

        (2)   If
the Employee retires at normal retirement age as determined by the Company from time to time, retires with the consent of the Company at an earlier date or becomes
permanently and totally disabled, as determined by the Committee, while employed by the Company, the Appreciation Rights and Options of the Employee will continue to vest, be exercisable and expire in
accordance with their terms. 

        (3)   If
an Employee dies while employed by the Company, the Appreciation Rights and Options of the Employee will become fully exercisable as of the date of death and will
expire three years after the date of death unless by their terms they expire sooner. If the Employee dies or becomes permanently and totally disabled as determined by the Committee within the three
months referred to in subparagraph (1) above, the Appreciation Rights and Options will become fully exercisable as of the date of death or such permanent disability and will expire, in the case
of death, one year after the date of such death. In the case of permanent and total disability such Options and Appreciation Rights will expire in accordance with their terms. If the Employee dies or
becomes permanently and totally disabled as determined by the Committee subsequent to the time the Employee retires at normal retirement age or retires with the consent of the Company at an earlier
date, the Appreciation Rights and Options will fully vest as of the date of death or permanent and total disability and will expire, in the case of death, one year after the date of death. In the case
of permanent and total disability, such Appreciation Rights and Options will expire in accordance with their terms. 

12

 

        (b)   Unless
otherwise determined by the Committee, in the event an Employee who holds Restricted Stock, Performance Units or Restricted Units (including any such award
designated as a Section 162(m) Award) ceases to be an Employee, all such Restricted Stock, Performance Units or Restricted Units subject to restrictions at the time his/her employment
terminates will expire, terminate and be cancelled except as follows: 

        (1)   In
the event the holder of Restricted Stock or Restricted Units ceases to be an Employee due to death, all such Restricted Stock or Restricted Units subject to
restrictions at the time his/her employment terminates will no longer be subject to said restrictions. 

        (2)   If
an Employee retires at normal retirement age as determined by the Company from time to time or retires with the consent of the Company at an earlier date or becomes
permanently and totally disabled as determined by the Committee, all such Restricted Stock, Performance Units or Restricted Units will continue to vest over the applicable vesting or performance
period provided that during these periods such Employee does not engage in or assist any business that the Company, in its sole discretion, determines to be in competition with any business conducted
by the Company or any of its Business Units. 

        (3)   In
the event a holder of Performance Units ceases to be an Employee prior to the end of a performance period applicable thereto, the Committee in its sole discretion
shall determine whether to make any payment to the Participant in respect of such Performance Unit and the timing of such payment, if any. 

        (c)   Unless
otherwise determined by the Committee, in the event the engagement by the Company of a Participant who is an advisor or consultant, but not an Employee or
Director, ceases for any reason (whether terminated by the Company or the Participant), the Participant's unvested Appreciation Rights or Options shall not vest and the Participant's unexercised but
vested Appreciation Rights or Options will expire and become unexercisable 90 days after termination. The Participant's Restricted Stock, Performance Units or Restricted Units subject to
restrictions at the time the engagement ceases will expire, terminate and be cancelled 

        (d)   The
Committee in its sole discretion may determine that any Participant who is on leave of absence for any reason will be considered as still in the employ or service of
the Company with respect to any Incentive Award; provided, however, that such Participant's rights to such Incentive Award during a leave of absence will be limited to the extent to which such
Incentive Aware was earned or vested at the commencement of such leave of absence. 

17.   Amendment and Termination  

        (a)   The
Committee shall have the power, in its discretion, to amend, suspend or terminate the Plan at any time. The Committee may not make amendments to the Plan that
increase the benefits available under the Plan in any material respect, including, without limitation, (1) amending the provisions of Section 6(a), (2) increasing the number of
shares of Common Stock that may be issued, transferred or exercised pursuant to Incentive Awards under the Plan, or (3) changing the types or terms of Incentive Awards that may be made under
the Plan, without the approval of the shareholders of the Company. 

        (b)   Subject
to Section 6(a), the Committee, with the consent of a Participant, may make such modifications in the terms and conditions of an Incentive Award as it
deems advisable. Notwithstanding the foregoing, only the Board, with the consent of a Director, may make modifications in the terms and conditions of an Option granted to a Director. 

        (c)   No
amendment, suspension or termination of the Plan will, without the consent of the Participant, alter, terminate, impair or adversely affect any right or obligation
under any Incentive Award previously granted under the Plan. 

13

 

18.   Effective Date of the Plan and Duration of the Plan. 

        This
Plan will become effective upon adoption by the Board subject to approval by the holders of a majority of the shares which are represented in person or by proxy and entitled to vote
on the subject at the Annual Meeting of Shareholders of the Company to be held on October 10, 2001 (or on such other date as may be determined by the Board). Unless previously terminated, the
Plan will terminate on October 10, 2011, except with respect to Incentive Awards then outstanding. 

14

QuickLinks

SECOND AMENDED AND RESTATED TENET HEALTHCARE CORPORATION 2001 STOCK INCENTIVE PLANQuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.2.  

 
 

QUESTAR CORPORATION
  ANNUAL MANAGEMENT INCENTIVE PLAN
  (As amended and restated effective January 1, 2005)    
    

        Paragraph 1. Name.    The name of this Plan is the Questar Corporation Annual Management Incentive Plan (the "Plan"). 

        Paragraph 2. Purpose.    The purpose of the Plan is to provide an incentive to officers and key employees of Questar
Corporation (the "Company") for the accomplishment of major organizational and individual objectives designed to further the Company's efficiency, profitability, and growth. 

        Paragraph 3. Administration.    The Management Performance Committee ("Committee") of the Company's Board of Directors
("Board") shall have full power and authority to interpret and administer the Plan. Such Committee shall consist of no less than three disinterested members of the Company's Board 

        Paragraph 4. Participation.    Within 60 days after the beginning of each year, the Committee shall nominate
Participants from the officers and key employees for such year. The Committee shall also establish a target bonus for the year for each Participant expressed as a percentage of base salary or
specified portion of base salary. Participants shall be notified of their selection and their target bonus as soon as practicable. 

        Paragraph 5. Determination of Performance Objectives.    Within 60 days after the beginning of each year, the
Committee shall establish target, minimum and maximum performance objectives for the Company and/or for its major operating subsidiaries and shall determine the manner in which the target bonus is
allocated among the performance objectives. The Committee shall also recommend a dollar maximum for payments to Participants for any Plan year. The Board shall take action concerning the recommended
dollar maximum within 60 days after the beginning of the Plan year. Participants shall be
notified of the performance objectives as soon as practicable once such objectives have been established. 

        Paragraph 6. Determination and Payment of Awards.    As soon as practicable, but in no event more than 90 days
after the close of each year during which the Plan is in effect, the Committee shall compute incentive awards for eligible Participants in such amounts as the members deem fair and equitable, giving
consideration to the degree to which the Participant's performance has contributed to the performance of the Company and its affiliated companies and using the target bonuses and performance
objectives previously specified. Aggregate awards calculated under the Plan shall not exceed the maximum limits approved by the Board for the year involved. To be eligible to receive a payment, the
Participant must be actively employed by the Company or an affiliate as of the date of distribution except as provided in Paragraph 7 and must not have been placed on probation during such
year. 

        The
Committee has the discretion to determine that any given non-officer Participant has earned up to the full amount of his target bonus for any year in which he has
performed on a superior level, despite the failure of the Company and its affiliated companies to achieve performance objectives that would otherwise result in a payment of such target bonus. The
Committee shall exercise this discretion only if it receives a joint recommendation by the Company's senior officer of the group in which the Participant works and the Company's Chief Executive
Officer. 

        All
awards shall be made in cash within 90 days after the end of the year in which performance is measured. 

 

        Paragraph 7. Termination of Employment.    

        (a)   In
the event a Participant ceases to be an employee during a year by reason of death, disability, approved retirement, or a reduction in force, an award if any,
determined in accordance with Paragraph 6 for the year of such event, shall be reduced to reflect partial participation by multiplying the award by a fraction equal to the months of
participation during the applicable year through the date of termination rounded up to whole months divided by 12. 

        For
the purpose of this Plan, approved retirement shall mean any termination of service on or after age 55 with 10 years of service. For the purpose of this Plan, disability shall
mean any termination of service that results in payments under the Company's Long-term Disability Plan. A reduction in force, for the purpose of this Plan, shall mean any involuntary
termination of employment due to the Company's economic condition, sale of assets, shift in focus, or other reasons independent of the Participant's performance. 

        The
entire amount of any award that is determined after the death of a Participant shall be paid in accordance with the terms of Paragraph 10. 

        (b)   In
the event a Participant ceases to be an employee during a year by reason of a Change in Control, he shall be entitled to receive all amounts deferred by him prior to
February 12, 1991. He shall also be entitled to an award for the year of such event as if he had been an employee throughout such year. The entire amount of any award for such year shall be
paid in a lump sum within 60 days after the end of the year in question. Such amounts shall be paid in cash. 

        A
Change in Control of the Company shall be deemed to have occurred if (i) any "Acquiring Person" (as such term is defined in the Rights Agreement dated as of February 13,
1996, between the Company and U. S. Bank, National Association ("Rights Agreement")) is or becomes the beneficial owner (as such term is used in Rule 13d-3 under the Securities
Exchange Act of 1934) of securities of the Company representing 25 percent or more of the combined voting power of the Company; or (ii) the following individuals cease for any reason to
constitute a majority of the number of directors then serving: individuals who, as of May 19, 1998, constitute the Company's Board and any new director (other than a director whose initial
assumption of office is in connection with an actual or threatened election contest, including but not limited to a consent solicitation, relating to the election of directors of the Company) whose
appointment or election by the Board or nomination for election by the Company's stockholders was approved or recommended by a vote of at least two-thirds of the directors then still in
office who either were directors on May 19, 1998, or whose appointment, election or nomination for election was previously so approved or recommended; or (iii) the Company's stockholders
approve a merger or consolidation of the Company or any direct or indirect subsidiary of the Company with any other corporation, other than a merger or consolidation that would result in the voting
securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting securities of the
surviving entity or any parent thereof) at least 60 percent of the combined voting power of the securities of the Company or such surviving entity or its parent outstanding immediately after
such merger or consolidation, or a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no person is or becomes the beneficial owner,
directly or indirectly, of securities of the Company representing 25 percent or more of the combined voting power of the Company's then outstanding securities; or (iv) the Company's
stockholders approve a plan of complete liquidation or dissolution of the Company or there is consummated an agreement for the sale or disposition by the Company of all or substantially all of the
Company's assets, other than a sale or disposition by the Company of all or substantially all of the Company's assets to an entity, at least 60 percent of the combined voting power of the
voting securities of which are owned by stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale. A Change in Control,
however, shall not be considered to have occurred until all

 
conditions precedent to the transaction, including but not limited to, all required regulatory approvals have been obtained. 

        Paragraph 8. Interest on Previously Deferred Amounts.    Amounts voluntarily deferred prior to February 12, 1991,
shall be credited with interest from the date the payment was first available in cash to the date of actual payment. Such interest shall be calculated at a monthly rate using the typical rates paid by
major banks on new issues of negotiable Certificates of Deposit in the amounts of $1,000,000 or more for one year as quoted in The Wall Street Journal
on the Thursday closest to the end of the month or other published source of rates as identified by the Company's Treasury department. 

        Paragraph 9. Coordination with Deferred Compensation Plan.    Some Participants are entitled to defer the receipt of all
or a portion of their bonuses under the terms of the Company's Deferred Compensation Plan, which became effective November 1, 1993. Any bonuses deferred pursuant to the Deferred Compensation
Plan shall be accounted for and distributed according to the terms of such plan and the elections made by the Participant. 

        Paragraph 10. Death and Beneficiary Designation.    In the event of the death of a Participant, amounts previously
deferred by the Participant, together with credited interest to the date of death, shall become payable. Each Participant shall designate a beneficiary to receive any amounts that become payable after
death under this Paragraph or Paragraph 7. In the event that no valid beneficiary designation exists at death, all amounts due shall be paid as a lump sum to the estate of the Participant. 

        Paragraph 11. Amendment of Plan.    The Company's Board, at any time, may amend, modify, suspend, or terminate the Plan,
but such action shall not affect the awards and the payment of such awards for any prior years. The Company's Board cannot terminate the Plan in any year in which a Change of Control has occurred
without the written consent of the Participants. The Plan shall be deemed suspended for any year for which the Board has not fixed a maximum dollar amount available for awards. 

        Paragraph 12. Nonassignability.    No right or interest of any Participant under this Plan shall be assignable or
transferable in whole or in part, either directly or by operation of law or otherwise, including, but not by way of limitation, execution, levy, garnishment, attachment, pledge, bankruptcy, or in any
other manner, and no right or interest of any Participant under the Plan shall be liable for, or subject to, any obligation or liability of such Participant. Any assignment, transfer, or other act in
violation of this provision shall be void. 

        Paragraph 13. Effective Date of the Plan.    The Plan shall be effective with respect to the fiscal year beginning
January 1, 1984, and shall remain in effect until it is suspended or terminated as provided by Paragraph 11. The most recent version of the Plan is effective January 1, 2005. 

QuickLinks

QUESTAR CORPORATION ANNUAL MANAGEMENT INCENTIVE PLAN (As amended and restated effective January 1, 2005)

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00079-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00079-of-00352.parquet"}]]