Document:

c62139_ex10-a.htm -- Converted by SEC Publisher, created by BCL Technologies Inc., for SEC Filing

Exhibit 10-A

September 14, 1989 

as amended June 11, 1998;

June 14, 2001; 

June 10, 2004; 

June 7, 2007; and 

July 8, 2010 

COLGATE-PALMOLIVE COMPANY 

EXECUTIVE SEVERANCE PLAN, AS AMENDED AND RESTATED

	
1.        	
PURPOSE.

  
	 
	 	
The purpose of the Colgate-Palmolive Company Executive Severance Plan (the "Plan") is to provide executives who are in a position to contribute materially to the success of Colgate-Palmolive Company (the "Parent
Company") or any company at least 80% of whose voting shares are owned directly or indirectly by it (collectively, the "Company") with reasonable compensation in the event of their termination of employment with the Company under the circumstances
described herein.

  
	 
	
2.        	
EFFECTIVE DATE.

  
	 
	 	
The Plan, as amended and restated, is effective as of July 8, 2010.

  
	 
	
3.        	
ADMINISTRATION.

  
	 
	 	
The Plan shall be administered by a Committee. Committee shall mean (i) prior to a Change of Control, the Personnel and Organization Committee of the Board of Directors of the Parent Company (the "Board") as then
constituted and (ii) following a Change of Control, the Committee described in (i) above, as constituted immediately before the Change of Control, with such changes in the membership thereof as may be approved from time to time following the Change
of Control by a majority of the members of such Committee as constituted prior to the Change of Control. Notwithstanding any other provision of this Plan, neither the Board nor the Company shall have any right to appoint members to or to remove
members from the Committee following, or otherwise in connection with, a Change of Control. Any interpretation of the Plan or construction of any of its provisions by the Committee shall be final.

  
	 
	
4.        	
PARTICIPATION.

  
	 
	 	
The Committee shall from time to time select the employees who are to participate in the Plan (the "Participants") from among those employees
who are determined by the Committee to be in a position to contribute materially to the success of the Company. The Company shall advise each Participant of his participation in the Plan by a letter

  
	 

	 	
setting forth (i) the benefits to which
the Participant would become entitled, (ii) the period, expressed in months, during or for which the Participant would become entitled to such benefits, which period shall not be less than 12 months nor more than 24 months (the "Earned Benefit
Period") and (iii) such other terms, provisions and conditions not inconsistent with the Plan as shall be determined by the Committee.

  
	 
	 	
A Participant shall cease to be a Participant in the Plan upon termination of employment with the Company or, if earlier, upon termination of the Plan. Notwithstanding the foregoing, a Participant who terminates
employment prior to termination of the Plan shall remain a Participant until receipt of all of the payments, if any, to which he is entitled under the terms hereof.

  
	 
	
5.        	
PAYMENTS UPON QUALIFIED TERMINATION OF EMPLOYMENT.

  
	 
	 	
In the event of a Participant's Qualified Termination of Employment, the Participant shall be entitled, as compensation for services rendered (subject to paragraph (d) of this Section 5 and Section 9 and to
withholding of any applicable payroll or other taxes) to:

  
	 
	 	
(a)        	
receive an undiscounted cash lump sum within
    30 days of the Participant's Qualified Termination of Employment in an amount
    equal to the product of (i) the sum of (A) the Participant's annualized Monthly
    Base Salary  at the rate in effect immediately prior to a Qualified Termination
    of Employment pursuant to Section 8(a)(i) or immediately prior to an Adverse
    Change in Conditions of Employment, as the case may be, or, if higher, at
    the highest rate in effect  during the 90-day period preceding the Change
    of Control plus any salary-related allocations that may be made to the Participant's
    account under the Company's Savings and Investment Plan for the year in which
    the Qualified Termination of Employment  occurs (for purposes of this Plan,
    Monthly Base Salary shall mean regular monthly salary as indicated by the
    Company's payroll records) and (B) the higher of (X) the average of the three
    highest annual aggregate bonus awards paid or payable to the  Participant
    (including awards or allocations pursuant to the Company's Executive Incentive
    Compensation Plan, the Bonus Savings Account ("BSA") program within the Company's
    Savings and Investment Plan (excluding any applicable gross-up) or other
     bonus, incentive or compensation plan of the Company or otherwise) for any
    year during the five-year period ending immediately prior to the year in
    which the Change of Control occurs (or for such lesser number of full years
    prior to the Change of  Control for which the Participant was eligible to
    earn such a bonus, and annualized in the case of any pro rata bonus earned
    for a partial year) and (Y) the aggregate annual bonus that would have been
    paid to the Participant (including awards or  allocations pursuant to the
    Company's Executive Incentive Compensation Plan, the BSA program within the
    Company’s Savings and Investment Plan (excluding any applicable gross-up)
    or other bonus,  incentive or compensation plan of the Company or otherwise)
    for the year in which the Qualified Termination of Employment occurs, determined
    as if all sales, 

  
	 

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  earnings, profits or other goals (whether
    established for the Participant, the Participant’s business unit(s) or the Company), if any, had been met for such year and as if the Participant had continued to be employed by the Company through the end of such year on the same basis as immediately prior to a
    Qualified Termination of Employment pursuant to Section 8(a)(i) or immediately prior to an Adverse Change in Conditions of Employment, as the case may be, and (ii) a fraction, the numerator of which is the number of months in his Earned Benefit
    Period and the denominator of which is twelve, provided, however, that such resulting amount shall be reduced if and to the extent
      required by the terms of Section 9 hereof; provided, further, that in determining Monthly Base Salary and aggregate annual bonus
        hereunder, amounts otherwise payable or awarded with respect to the relevant period that a Participant has elected to defer pursuant to any applicable deferred compensation plan or arrangement shall be taken into account, and amounts paid out during
    such period pursuant to a prior deferral election shall not be taken into account;

	 
	(b)     	
    remain for his Earned Benefit Period an active participant in all welfare benefit plans, including but not limited to plans providing life insurance, disability, accident, sickness, and/or medical benefits, in
      which, and on the same basis as, he was participating at the time of the Change of Control (or, if more favorable to the Participant, as in effect at any time thereafter with respect to other key executives), but subject to any coordination of
      benefits provisions contained in such plans, or alternatively, be provided with substantially similar benefits for such period; provided, in any case, that the Participant shall be required to make contributions to the cost of such plans or benefits
      and pay co-payments to the same extent and on the same basis as required before the Participant's Qualified Termination of Employment or, if more favorable to the Participant, as active employees who continue to participate in such plans or benefits
      during the Earned Benefit Period, and provided further that the fair market value of any medical, dental or vision coverage provided pursuant to this clause, less any Participant contributions, shall be treated as taxable to the Participant and the
      Company shall report such cost to the appropriate tax authorities as taxable income to the Participant; and (The extension of medical and/or dental coverage pursuant to the foregoing shall be in compliance with the Consolidated Omnibus Budget
    Reconciliation Act of 1985 (COBRA) and will be coordinated with the Participant's rights thereunder, with the period of optional COBRA coverage being up to 18 months, offset by the period of extended coverage outlined above.)

	 
	(c)	
    receive a single cash lump sum within 30 days of the Participant's Qualified Termination of Employment equal to the excess of (i) over (ii) as described below:

	 	 	 
	 	(i)     	The present value, as of the Qualified Termination of Employment, of benefits under the Employees' Retirement Income Plan, the Expatriate Pension Plan, the Supplemental
Salaried Employees' Retirement Plan, the

	 	 	 

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	Company’s Savings and Investment Plan, the Supplemental
        Salaried Employees Savings and Investment Plan, and any plan maintained
        by the Company providing qualified plan or supplemental plan benefits
        comparable to the benefits provided in the aforementioned plans (“Comparable
        Plan”), or any successor plans thereto, or of "benefits from other
        sources to which the Company contributes," as defined below, to which
        the Participant would have been entitled commencing on the earliest date
        on which such benefits could have commenced if he had remained in the
        employ of the Company during the Earned Benefit Period or until age 65,
        whichever occurs first, based on his Recognized Earnings (as defined
        in the Employees' Retirement Income Plan) as determined most recently
        prior to the Qualified Termination of Employment and assuming for this
        purpose that all accrued benefits are fully vested and that benefit accrual
        formulas are no less advantageous to the Participant than those in effect
    during the 90-day period preceding the Change of Control; 
	 	 	 
	 	
(ii)     
	The present value, as of the Qualified Termination of Employment, of benefits to which the Participant would actually be entitled under the Employees' Retirement Income
Plan, the Expatriate Pension Plan, the Supplemental Salaried Employees' Retirement Plan, the Company’s Savings and Investment Plan, the Supplemental Salaried Employees Savings and Investment Plan, a Comparable Plan, or the benefits from other
sources referenced in (i) above, commencing on the earliest date on which such benefits could actually commence.

	 	 	 
	 	
For purposes of (i) and (ii) above, "benefits from other sources
to which the Company contributes" shall include retirement benefits payable under
plans maintained directly and indirectly by the Company outside the U.S. and
non-U.S. governmental benefits (whether considered retirement benefits, severance
benefits, termination allowances or indemnities) to the extent paid by or contributed
to by the Company. The present-value amounts in (i) and (ii) above will be  calculated
based on the same methods and assumptions used when calculating lump sum amounts
under the Employees' Retirement Income Plan, the Expatriate Pension Plan, the
Supplemental Salaried Employees' Retirement Income Plan, the Company’s
Savings and Investment Plan, the Supplemental Salaried Employees Savings and
Investment Plan or the Comparable Plans, as applicable, inclusive of any subsidized
forms of annuities under the Employees' Retirement Income Plan and the Supplemental
 Salaried Employees' Retirement Plan or the Comparable Plans, as applicable.

	 	 	 
	
(d)     
	
  Anything to the contrary in this Section 5 notwithstanding:

	 	 	 
	 	(i)     	The payments and benefits otherwise required to be
        provided to the Participant upon a Qualified Termination of Employment
        pursuant to this Section 5 shall be reduced (but not below zero) as appropriate
        by all payments and benefits to which the Participant is entitled as
    a result of the 
	 	 	 

4

	 	      	
Qualified Termination of Employment in the
    nature of severance or separation pay or benefits, pay and/or benefits in
    lieu of notice, pay and/or benefits for service during any notice period,
    or any similar type of payment or benefit, under any plan, program or policy
    of the Company (a "Plan"), under any contract or agreement between the Participant or a union, works council or other collective bargaining entity or
employee representative and the Company (a "Contract"), or under applicable law or regulation ("Law"), unless such Plan, Contract or Law specifically provides otherwise; and

  
	 
	 	(ii)      	
If the Participant has been determined by the Company pursuant to the Company’s procedures to be a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) of the Internal Revenue Code of
1986, as amended from time to time (the “Code”), the payments and benefits otherwise required to be provided to the Participant upon a Qualified Termination of Employment (A) in Sections 5(a) and 5(c) above shall be deferred for six months
following the Participant’s separation from service (or, if earlier, the date of the Participant’s death) and (B) welfare benefits other than medical and dental benefits in Section 5(b) above shall end on the earlier of the end of the
Earned Benefit Period or the date that is two years after the end of the year in which the Qualified Termination of Employment occurs.

  
	 
	
6.        	
PAYMENTS UPON CHANGE OF CONTROL.
  
	 
	 	
In the event of a Change of Control of the Company (and whether or not the Participant's employment terminates), each Participant shall be entitled, as compensation for services rendered before the Change of
Control, regardless of whether the Participant remains employed after the Change of Control (subject to any applicable payroll or other taxes required to be withheld) to:

  
	 
	 	
(a)        	
receive within 30 days following the Change
    of Control, a cash lump sum representing a pro-rated annual bonus for the
    year in which the Change of Control occurs, in an amount equal to the product
    of (i) the  aggregate annual bonus determined pursuant to Section 5(a)(i)(B)(Y),
    provided, however, that if no such goals have been established for such year,
    the amount determined pursuant to Section 5(a)(i)(B)(X), and (ii) a fraction,
    the numerator of which  is the number of months (or part thereof) in the
    period beginning January 1 of the year in which the Change of Control occurs
    and ending on the date of the Change of Control and the denominator of which
    is twelve; and provided, further, that to the  extent the Participant becomes
    entitled to another annual bonus based upon performance and/or service for
    the same period (or a longer period including such period), the amount thereof
    may be offset by the amount paid pursuant to this Section 6(a); and
  
	 

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(b)        	
receive within 30 days following the Change of Control, (i) all compensation amounts that were earned and vested before January 1, 2005 that the Participant previously has elected to defer and (ii) if the Change of
Control satisfies the requirements of Section 409A(a)(2)(A)(v) of the Code, all compensation amounts that were earned and vested after December 31, 2004 that the Participant previously has elected to defer.
  
	 
	
7.        	
IMPACT OF CHANGE OF CONTROL ON EQUITY AWARDS.
  
	 
	 	
The impact of a Change of Control upon equity awards then held by a Participant shall be governed by the terms and conditions of the applicable plan(s) pursuant to which such awards were granted, any applicable
guidelines adopted pursuant to such plans and the terms and conditions of the individual awards.

  
	 
	
8.        	
QUALIFIED TERMINATION OF EMPLOYMENT.
  
	 
	 	
(a)        	
Qualified Termination of Employment with respect to any Participant shall mean termination of employment of the Participant with the Company, other than as a consequence of the death or Disability of the
Participant, within two years after a Change of Control of the Company,
  
	 
	 	 	
(i)        	
by the Company for any reason other than for Cause, or
  
	 
	 	 	
(ii)        	
by the Participant by reason of an Adverse Change in Conditions of Employment.
  
	 
	 	
(b)        	
Cause shall mean:
  
	 
	 	 	
(i)        	
the willful and continued failure of the Participant to perform substantially his or her duties with the Company, after a written demand for substantial performance is delivered to the Participant by the Board or
the Chief Executive Officer of the Company that specifically identifies the manner in which the Board or the Chief Executive Officer of the Company believes that the Participant has not substantially performed his or her duties, or
  
	 
	 	 	
(ii)        	
gross misconduct that is materially and demonstrably injurious to the Company.
  
	 
	 	 	
  For purposes of Section 8(b)(i), no act,
      or failure to act, on the part of the Participant shall be considered “willful” unless
      it is done, or omitted to be done, by the Participant in bad faith or
      without reasonable belief that the Participant’s action or omission
      was in the best interests of the Company. Any act, or failure to act, based
      upon authority given pursuant  to a resolution duly adopted by the Board
      or upon the instructions of the Chief Executive Officer of the Company
      or a senior officer of the Company or based upon the advice of counsel
      for the Company shall be conclusively 

	 

6

	 	
presumed to be done, or omitted to be done,
    by the Participant in good faith and in the best interests of the Company.
    The cessation of employment of the Participant shall not be deemed to be
    for Cause unless and until there shall have been delivered to the Participant
    a copy of a resolution duly adopted by the Board (excluding the Participant,
    if the Participant is a member of the Board) at a meeting of the Board called
    and held for such purpose (after reasonable notice is provided to the Participant
    and the Participant is given an opportunity, together with counsel for the
    Participant, to be heard before the Board), finding that, in the good faith
    opinion of the Board, the Participant is guilty of the conduct described
    in Section 8(b)(i) or 8(b)(ii), and specifying the particulars thereof in
    detail.

  
	 
	
(c)        	
An Adverse Change in Conditions of Employment shall mean the occurrence of any of the following events:

  
	 
	 	
(i)	
the assignment to the Participant of any duties inconsistent in any respect with the Participant's position (including offices, titles and reporting requirements), authority, duties or responsibilities from those
in effect immediately before the Change of Control, or any other diminution in such position, authority, duties or responsibilities (whether or not occurring solely as a result of the Company's ceasing to be a publicly-traded entity), excluding for
this purpose an isolated, insubstantial and inadvertent action not taken in bad faith and that is remedied by the Company promptly after receipt of notice thereof given by the Participant;

  
	 
	 	
(ii)	
a reduction by the Company of the Participant's Monthly Base Salary as in effect immediately preceding the Change of Control or as the same may thereafter be increased from time to time;

  
	 
	 	
(iii)	
failure by the Company to provide the Participant with incentive compensation opportunities that are, in the aggregate, at least as favorable (in terms of the value of the opportunities and the difficulty of
achieving any associated goals) as those provided to the Participant immediately before the Change of Control, or to provide the Participant with employee benefits that are, in the aggregate, at least as favorable as those provided to the
Participant immediately before the Change of Control;

  
	 
	 	
(iv)    	
the Company's requiring the Participant (a)
    to be based at an office located more than fifty (50) miles and at least
    twenty (20) additional miles from the place at which the Participant's principal
    residence was  located immediately prior to the Change of Control, (b) to
    be based at a location other than the principal executive offices of the
    Company, if the Participant was based at the principal executive offices
    immediately preceding the Change of Control,  or (c) to travel on Company
    business to a substantially greater extent than required immediately before
    the Change of Control.

  
	 

7

	 	
A Participant's failure to object to a change described in (i), (ii), (iii) or (iv) shall not constitute a waiver of such change as an Adverse Change in Conditions of Employment. Any good faith determination by a
Participant of an Adverse Change in Conditions of Employment shall be determinative.

  
	 
	
(d)        	
For the purposes of the Plan, a Change of Control of the Company shall mean the happening of any of the following events:
  
	 
	 	
(i)        	
An acquisition by any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934) (a "Person") of beneficial ownership (within the meaning of Rule 13d-3
promulgated under the Securities Exchange Act of 1934) of 20% or more of either (A) the then-outstanding shares of common stock of the Company (the "Outstanding Company Common Stock") or (B) 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"); excluding, however, the following: (1) any acquisition directly from the Company, other than an acquisition by virtue of
the exercise of a conversion privilege unless the security being so converted itself was acquired directly from the Company, (2) any repurchase by the Company, (3) any acquisition by any employee benefit plan (or related trust) sponsored or
maintained by the Company or any entity controlled by the Company, or (4) any acquisition pursuant to a transaction that complies with clauses (A), (B) and (C) of subsection (iii) of this Section 8(d); or
  
	 
	 	
(ii)        	
A change in the composition of the Board such
    that the individuals who, as of the Effective Date of the Plan, constitute
    the Board (such Board shall be hereinafter referred to as the "Incumbent
    Board") cease for
any reason to constitute at least a majority of the Board; provided, however,
    that, for purposes of this Section 8(d) any individual who becomes a member
    of the Board subsequent to the Effective Date of the Plan, whose election,
    or nomination for  election by the Company's shareholders, was approved by
    a vote of at least a majority of those individuals who are members of the
    Board and who were also members of the Incumbent Board (or deemed to be such
    pursuant to this proviso) shall be  considered as though such individual
    were a member of the Incumbent Board; provided, further, that 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 Securities Exchange Act of 1934) or
    other actual or threatened solicitation of proxies or consents by or on behalf
    of a Person other than the Board  shall not be so considered as a member
    of the Incumbent Board; or
  
	 	 	 
	 	(iii)      	The consummation of a reorganization, merger or consolidation
      or sale or other disposition of all or substantially all of the assets
    of the Company 
	 

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	("Corporate Transaction"); excluding, however,
      such a Corporate Transaction pursuant to which (A) all or substantially
      all of the individuals and entities who are the beneficial owners, respectively,
      of the Outstanding Company Common Stock and Outstanding Company Voting
      Securities immediately prior to such Corporate Transaction will beneficially
      own, directly or indirectly, more than 60% of, respectively, the outstanding
      shares of common stock, and the combined voting power of the then-outstanding
      voting securities entitled to vote generally in the election of directors,
      as the case may be, of the corporation resulting from such Corporate Transaction
      (including, without limitation, a corporation that as a result of such
      transaction owns the Company or all or substantially all of the Company's
      assets either directly or through one or more subsidiaries) in substantially
      the same proportions as their ownership, immediately prior to such Corporate
      Transaction, of the Outstanding Company Common Stock and Outstanding Company
      Voting Securities, as the case may be, (B) no Person (other than the Company,
      any employee benefit plan (or related trust) of the Company or such corporation
      resulting from such Corporate Transaction) will beneficially own, directly
      or indirectly, 20% or more of, respectively, the outstanding shares of
      common stock of the corporation resulting from such Corporate Transaction
      or the combined voting power of the outstanding voting securities of such
      corporation entitled to vote generally in the election of directors except
      to the extent that such ownership derives from ownership of a 20% or more
      interest in the Outstanding Company Common Stock and/or Outstanding Company
      Voting Security that existed prior to the Corporate Transaction, and (C)
      individuals who were members of the Incumbent Board will constitute at
      least a majority of the members of the board of directors of the corporation
    resulting from such Corporate Transaction; or
	 
	 	
(iv)  	
the approval by shareholders of a complete liquidation or dissolution of the Company.
  
	 
	
(e)        	
Termination by the Company of a Participant's employment based on Disability shall mean termination because of absence from duties with the Company on a full-time basis for six consecutive months, as a result of
the Participant's incapacity due to physical or mental illness which is determined to be total and permanent by a physician selected by the Company or its insurers and acceptable to the Participant or the Participant's legal representative (such
agreement as to acceptability not to be withheld unreasonably).
  
	 

9

	
9.        	
EXCISE TAX CUTBACK.

  
	 
	 	
(a)        	
Anything in this Plan to the contrary notwithstanding, in the event it shall be determined that any Payment would be subject to the Excise Tax, then the aggregate Plan Payments shall be reduced to the Reduced
Amount.

  
	 
	 	
(b)        	
All determinations required to be made under
    this Section 9 shall be made by PricewaterhouseCoopers LLP or such other
    nationally-recognized accounting firm as the Committee may select (the "Accounting
    Firm"),
provided, however, if PricewaterhouseCoopers LLP or such other firm is at the
    time the independent public auditor of the Company, such assignment shall
    be subject to the pre-approval of the Audit Committee of the Board of the
    Parent Company  pursuant to applicable law and any Company policy then in
    effect. In the event that the Accounting Firm is serving as accountant or
    auditor for the individual, entity or group effecting the Change of Control,
    the Committee shall appoint another  nationally-recognized accounting firm
    to make the determinations required hereunder (which accounting firm shall
    then be referred to as the Accounting Firm hereunder). All fees and expenses
    of the Accounting Firm shall be borne solely by the  Company.

  
	 
	 	
(c)        	
If the Accounting Firm determines that aggregate Plan Payments to a Participant should be reduced to the Reduced Amount, the Company shall promptly give the Participant notice to that effect and a copy of a
detailed calculation thereof prepared by the Accounting Firm. The reduction of the amounts payable hereunder, if applicable, shall be made by reducing the payments and benefits under the following sections in the following order: (i) Section 5(a);
(ii) Section 5(c); and (iii) Section 5(b). All determinations made by the Accounting Firm under this Section 9 shall be binding upon the Company and the Participant and shall be made within 15 days of a termination of employment of the
Participant.

  
	 
	 	
(d)        	
As a result of uncertainty in the application of Section 4999 of the Code at the time of any initial determination by the Accounting Firm hereunder, it is possible that amounts will have been paid or distributed by
the Company to or for the benefit of the Participant pursuant to this Plan that should not have been so paid or distributed (“Overpayment”) or that additional amounts will not have been paid or distributed by the Company to or for the
benefit of the Participant pursuant to this Plan that could have been so paid or distributed (“Underpayment”), in each case, consistent with the calculation of the Reduced Amount hereunder. In the event that the Accounting Firm, based upon
the assertion of a deficiency by the Internal Revenue Service against either the Company or the Participant, which the Accounting Firm believes has a high probability of success, determines that an Overpayment has been made, the Participant shall
promptly pay to the Company the amount of such Overpayment, together with interest at the applicable federal rate provided for in Section 7872(f)(2) of the Code; provided, however, that no such payment shall be required if and to the extent such
payment would not either reduce the

  
	 

10

	
 
  	amount on which the Participant is subject to tax under
    Section 1 and Section 4999 of the Code or generate a refund of such taxes.
    In the event the Accounting Firm, based upon controlling precedent or substantial
    authority, determines that an Underpayment has occurred, any such Underpayment
    shall be promptly paid by the Company (and in no event later than 60 days
    following the date on which the Underpayment is determined) to or for the
    benefit of the Participant together with interest at the applicable federal
    rate provided for in Section 7872(f)(2) of the Code.
	 
	
(e)        	
Definitions. The following terms shall have the following meanings for purposes of this Section 9:
  
	 
	 	
(i)        	
"Excise Tax" shall mean the excise tax imposed by Section 4999 of the Code, together with any interest or penalties imposed with respect to such excise tax.
  
	 
	 	
(ii)        	
A "Payment" shall mean any payment or distribution in the nature of compensation (within the meaning of Section 280G(b)(2) of the Code) to or for the benefit of the Participant, whether paid or payable pursuant to
this Plan or otherwise.
  
	 
	 	
(iii)        	
A "Plan Payment" shall mean a Payment paid or payable pursuant to this Plan (disregarding this Section 9).

 
  
	 	(iv) 	
The “Reduced Amount” shall mean the amount of Plan Payments, expressed in Value, that maximizes the aggregate Value of Payments without causing any Payment to be nondeductible by application of Section
280G of the Code.
  
	 
	 	
(v)        	
"Value" of a Payment shall mean the economic present value of a Payment as of the date of the Change of Control for purposes of Section 280G of the Code, as determined by the Accounting Firm using the discount rate
required by Section 280G(d)(4) of the Code.
  
	 
	10.	
  CONFIDENTIAL INFORMATION.

	 
	 	
  The Participant shall hold, in a fiduciary capacity for the benefit of the Company, all secret or confidential information, knowledge or data relating to the Company and its businesses which shall have been
    obtained by the Participant during his employment by the Company and which shall not be public knowledge (other than by acts of the Participant in violation of this provision). After termination of the Participant's employment with the Company, the
    Participant shall not, without the prior written consent of the Company, communicate or divulge any such information, knowledge or data to any one other than the Company and those persons designated by it. In no event shall an asserted violation of
    this Section constitute a basis for deferring or

	 

11

	 	
withholding any amounts otherwise payable to the Participant under the Plan.

  
	 
	
11.        	
FINANCING.

  
	 
	 	
Benefit payments under the Plan shall constitute general obligations of the Company in accordance with the terms of the Plan. A Participant shall have only an unsecured right to payment thereof out of the general
assets of the Company. Notwithstanding the foregoing, the Company may, by agreement with one or more trustees to be selected by the Company, create a trust on such terms as the Company shall determine to make payments to Participants in accordance
with the terms of the Plan, including without limitation payments of deferred amounts not accelerated pursuant to Section 6(b)(ii).

  
	 
	
12.        	
TERMINATION AND AMENDMENT OF THE PLAN.

  
	 
	 	
The Plan shall terminate on the later of (i) July 31, 2013, unless extended by the Board or (ii) in the event of a Change of Control of the Company on or before the termination date of the Plan, two years after
such Change of Control, provided that the termination of the Plan shall not impair or abridge the obligations of the Company incurred under the Plan to any Participant as a result of a Qualified Termination of Employment that occurs before the date
the Plan is terminated.

  
	 
	 	
Except as provided in the next sentence, the Board may from time to time terminate the Plan or amend the Plan in whole or in part. The Plan may not be terminated or amended in any manner which would adversely
affect the rights or potential rights of Participants, if the action to effect such termination or amendment occurs (i) after a Change of Control, or (ii) in connection with a Change of Control, unless and to the extent that the Committee determines
that such termination or amendment is required by law.

  
	 
	
13.        	
BENEFIT OF PLAN.

  
	 
	 	
The Plan shall be binding upon and shall inure to the benefit of the Participants and their respective heirs and legal representatives, and the Company and its successors. The term "successor" shall mean any
person, firm, corporation or other business entity that, at any time, whether by merger, acquisition or otherwise, acquires all or substantially all of the stock, assets or business of the Company.

  
	 
	
14.        	
NON-ASSIGNABILITY.

  
	 
	 	
Each Participant's rights under this Plan shall be non-transferable except by will or by the laws of descent and distribution and except insofar as applicable law may otherwise require. Subject to the foregoing, no
right, benefit or interest hereunder, shall be subject to anticipation, alienation, sale, assignment, encumbrance, charge, pledge, hypothecation, or set-off in respect of any claim, debt or obligation, or to execution, attachment, levy or similar
process, or assignment by operation of law, and

  
	 

12

	 
  	any attempt, voluntary or involuntary,
      to effect any such action shall, to the full extent permitted by law, be
    null, void and of no effect.

	 
	
15.        	
OTHER BENEFITS.
  
	 
	 	
Except as otherwise specifically provided herein, nothing in the Plan shall affect the level of benefits provided to or received by any Participant (or the Participant's estate or beneficiaries) as part of any
employee benefit plan of the Company, and the Plan shall not be construed to affect in any way a Participant's rights and obligations under any other Plan maintained by the Company on behalf of employees.

  
	 
	 	
The Participant shall not be required to mitigate the amount of any payment under the Plan by seeking employment or otherwise, and there shall be no right of set-off or counterclaim, in respect of any claim, debt
or obligation, against any payments to the Participant, his dependents, beneficiaries or estate provided for in the Plan.

  
	 
	
16.        	
TERMINATION OF EMPLOYMENT.
  
	 
	 	
Nothing in the Plan shall be deemed to entitle a Participant to continued employment with the Company, and the rights of the Company to terminate the employment of a Participant shall continue as fully as though
the Plan were not in effect.

  
	 
	
17.        	
SEVERABILITY.
  
	 
	 	
In the event that any provision or portion of the Plan shall be determined to be invalid or unenforceable for any reason, the remaining provisions and portions of the Plan shall be unaffected thereby and shall
remain in full force and effect to the fullest extent permitted by law.

  
	 
	
18.        	
INDEMNIFICATION.
  
	 
	 	
If the Participant seeks, in any action, suit or arbitration, to enforce, or to recover damages for breach of, his rights under the Plan, the Participant shall be entitled to recover from the Company promptly as
incurred, and shall be indemnified by the Company against, any and all expenses and disbursements, including attorneys' fees, actually and reasonably incurred by the Participant. The Company shall also pay to the Participant prejudgment interest on
any money judgment obtained by the Participant calculated at the Citibank N.A. base rate of interest in effect from time to time from the date that payment to him should have been made under the Plan.

  
	 
	19.
  	DELAWARE LAW TO GOVERN.

	 
	 
  	All questions pertaining to
      the construction, regulation, validity and effect of the provisions of
      the Plan shall be determined in accordance with the laws of the State of
    Delaware without regard to the conflict of law principles thereof.

	 

13exv10w1

Exhibit 10.1

THE GREENBRIER COMPANIES INC.

2009 EMPLOYEE STOCK PURCHASE PLAN

Amendment No. 1

     The Greenbrier Companies, Inc. 2009 Employee Stock Purchase Plan (the “Plan”) is hereby
amended as follows:

     1. Grant Date. Section 5.1 of the Plan is amended by deleting the stricken language
and replacing that sentence with the underlined language, as set forth below:

     “5.1 Upon receipt and acceptance by the Company of a valid subscription and
payroll deduction authorization from a participant, the Company shall offer to sell
Shares to such participant. The first day of the month in which Shares are
purchased on a participant’s behalf under the Plan shall be deemed the Grant Date
with respect to such Participant. Each date of purchase of Shares under the
Plan will be deemed to be the Grant Date with respect to the Shares purchased on
such date.”

     2. Offering Period. Section 5.2 of the Plan is amended by deleting the stricken
language and replacing that sentence with the underlined language, as set forth below:

     “5.2 The offering period with respect to a participant shall begin on the Grant Date
and shall continue until the earlier of (a) the effective date of the Participant’s
termination in the Plan pursuant to Section 4.5, or (b) the termination date of the Plan
the last day of the month in which the purchase occurs. The foregoing
notwithstanding, the offering period shall in no event be longer than five years from the
Grant Date.”

     3. Effective Date. This Amendment No. 1 shall be effective as of January 1, 2010.
Except as hereby amended the Plan shall remain in full force and effect.

	 	 	 	 	 
	 	THE GREENBRIER COMPANIES, INC.

 	 
	 	By:  	/s/ Maren J. Malik
 	 
	 	 	Title:      Vice President Administration 	 
	 	 	 	 
	 

Amendment No. 1 was ratified and approved by the Compensation Committee of The Greenbrier
Companies, Inc. Board of Directors on April 5, 2010.

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