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exhibit1012017cashincent

Exhibit 10.1  U.S. CONCRETE, INC. 2017 CASH INCENTIVE PLAN  Article I Purpose   The purpose of the U.S. Concrete, Inc. 2017 Cash Incentive Plan (the “Plan”) is to advance the interests of U.S. Concrete, Inc. (the “Company”) and its stockholders by (a) providing certain Employees of the Company and its Subsidiaries (as hereinafter defined) with incentive compensation which is tied to the achievement of pre-established and objective performance goals, (b) identifying and rewarding superior performance and providing competitive compensation to attract, motivate, and retain Employees who have outstanding skills and abilities and who achieve superior performance, and (c) fostering accountability and teamwork throughout the Company.   The Plan is intended to provide Participants (as hereinafter defined) with incentive compensation which is not subject to the deduction limitation rules prescribed under Section 162(m) of the Internal Revenue Code of 1986, as amended (the “Code”), and should be construed to the extent possible as providing for remuneration which is “performance-based compensation” within the meaning of Section 162(m) of the Code and the treasury regulations promulgated thereunder.  Notwithstanding the foregoing, the Committee (as defined below) may, in its sole discretion, grant Incentive Compensation (defined below) which is not intended to meet the “performance-based compensation” exception under Section 162(m) of the Code and the treasury regulations promulgated thereunder.  Article II Definitions   For the purposes of this Plan, unless the context requires otherwise, the following terms shall have the meanings indicated:  “Adjusted EBITDA” means, for the Company or any Subsidiary, income (loss) from continuing operations plus income tax expense (benefit), depreciation, depletion and amortization, net interest expense, loss on extinguishment of debt, derivative (gain) loss, non-cash gain (loss) on revaluation of contingent consideration, non-cash stock compensation expense, acquisition-related professional fees, and officer severance, as reported from time to time by the Company in its earnings releases.   “Adjusted Free Cash Flow” means net cash provided by operating activities less capital expenditures, plus proceeds from the sale of property, plant and equipment, plus proceeds from disposals of business units.   “Adjusted Gross Profit” means Adjusted Gross Profit as income from operations, plus depreciation, depletion and amortization, selling, general and administrative expenses, loss (gain) on revaluation of contingent consideration, and (gain) loss on sale of assets.  “Adjusted Net Income from Continuing Operations” means net income, plus loss from discontinued operations, net of taxes, income tax expense (benefit), derivative (gain) loss, loss on extinguishment of debt, non-cash stock compensation expense, acquisition-related professional fees, officer severance and non-cash loss (gain) on revaluation of contingent consideration.  “Award” means a grant of Incentive Compensation that may be paid to an Eligible Employee upon the satisfaction of specified Performance Goal(s) for a particular Performance Period; such Performance Period may be for a period of less than a Fiscal Year (e.g., six months, a “Short-Term 

 

  2 Award”), a period equal to a Fiscal Year (an “Annual Award”), or a period in excess of a Fiscal Year (e.g., three Fiscal Years, a “Long-Term Award”).  “Base Pay” means a Participant’s base salary at the end of the applicable Performance Period, according to the books and records of the Company, excluding overtime, commissions, bonuses, disability pay, any Incentive Compensation paid to the Participant, or any other payment in the nature of a bonus or compensation paid under any other employee plan, contract, agreement, or program.   “Board” means the Board of Directors of the Company.   “Business Unit” means any segment or operating or administrative unit, including geographical unit, of the Company identified by the Committee as a separate business unit, or a Subsidiary identified by the Committee as a separate business unit.   “Business Unit Performance Goals” means the objective performance goals established for each Business Unit in accordance with Sections 5.1 and 5.2 below for any Performance Period.  “Chief Executive Officer” or “CEO” means the chief executive officer of the Company.  “Claims” shall have the meaning set forth in Section 7.5 below.   “Code” means the Internal Revenue Code of 1986, as amended.   “Committee” means the Compensation Committee of the Board or any other committee as determined by the Board, which shall consist of two or more “outside directors” within the meaning of Section 162(m) of the Code.   “Company” means U.S. Concrete, Inc., a Delaware corporation.   “Company Performance Goals” means the objective performance goals established for the Company in accordance with Sections 5.1 and 5.3 below for any Performance Period.  “Covered Employee” shall have the same meaning as the term “covered employee” (or its counterpart, as such term may be changed from time to time) contained in the treasury regulations promulgated under Section 162(m) of the Code, or their respective successor provision or provisions, provided that only an Employee for whom the limitation on deductibility for compensation pursuant to Section 162(m) of the Code is applicable shall be considered a “Covered Employee” for purposes of this Plan.    “Eligible Employee” shall mean any Employee of the Company or any Subsidiary.   “Employee” means a common law employee (as defined in accordance with the treasury regulations and revenue rulings applicable under Section 3401(c) of the Code) of the Company or any Subsidiary of the Company.   “Fiscal Year” means the fiscal year of the Company.   “Incentive Compensation” means the compensation approved by the Committee to be paid to a Participant for any Performance Period under the Plan.  

 

  3  “Individual Performance Goals” means the objective performance goals established for an individual Participant for any Performance Period, which shall be based on the performance of the Company or any Business Unit and shall be related to the achievement of financial and operating objectives of the Company or any Business Unit, as applicable.  “Maximum Achievement” means, for a Participant for any Performance Period, the maximum level of achievement of a set of Performance Goals required for Incentive Compensation to be paid at the maximum bonus level, which shall be a specified percentage of the Participant’s Base Pay with respect to such set of Performance Goals, determined by the Committee in accordance with Section 5.1 below.  “Net Debt” means total debt, including current maturities and capital lease obligations, less cash and cash equivalents   “Participant” means an Employee of the Company or a Subsidiary who satisfies the eligibility requirements of Article IV of the Plan and who is selected by the Committee (or an Authorized Officer, duly appointed in accordance with Article III) to participate in the Plan for any Performance Period.    “Performance Criteria” shall have the meaning set forth in Section 5.2 below.   “Performance Goals” means the Individual Performance Goals, Business Unit Performance Goals, and Company Performance Goals established by the Committee for a Participant, the Company and/or each Business Unit for any Performance Period, as provided in Sections 5.1, 5.2, 5.3, and 5.6 below.   “Performance Period” means the period selected by the Committee for the payment of Incentive Compensation.  Unless the Committee, in its discretion, specifies other Performance Periods for the payment of Incentive Compensation hereunder, the Performance Period shall be a Fiscal Year.   “Plan” means the U.S. Concrete, Inc. 2017 Cash Incentive Plan, as it may be amended from time to time.   “Segment Adjusted EBITDA” means, for any Business Unit, income (loss) from continuing operations plus income tax expense (benefit), depreciation, depletion and amortization, net interest expense, loss on extinguishment of debt, derivative (gain) loss, non-cash gain (loss) on revaluation of contingent consideration, non-cash stock compensation expense, acquisition-related professional fees, and officer severance, as reported from time to time by the Company in its filings with the Securities and Exchange Commission.   “Subsidiary” means (i) any corporation in an unbroken chain of corporations beginning with the Company, if each of the corporations other than the last corporation in the unbroken chain owns stock possessing at least fifty percent (50%) of the total combined voting power of all classes of stock in one of the other corporations in the chain, (ii) any limited partnership, if the Company or any corporation described in item (i) above owns a majority of the general partnership interest and a majority of the limited partnership interests entitled to vote on the removal and replacement of the general partner, and (iii) any partnership or limited liability company, if the partners or members thereof are composed only of the Company, any corporation listed in item (i) above, any limited partnership listed in item (ii) above or any other limited liability company described in this item (iii).  “Subsidiaries” means more than one of any such corporations, limited partnerships, partnerships, or limited liability company.  “Target Achievement” means, for a Participant for any Performance Period, the level or range of achievement of a set of Performance Goals required for Incentive Compensation to be paid at the target 

 

  4 bonus level, which shall be a specified percentage of the Participant’s Base Pay with respect to such set of Performance Goals, determined by the Committee in accordance with Section 5.1 below.   “Threshold Achievement” means, for a Participant for any Performance Period, the minimum level of achievement of a set of Performance Goals required for any Incentive Compensation to be paid at the threshold bonus level, which shall be a specified percentage of the Participant’s Base Pay with respect to such set of Performance Goals, as determined by the Committee in accordance with Section 5.1 below.  Article III Administration   3.1 Committee’s Authority.  Subject to the terms of this Article III, the Plan shall be administered by the Committee.  For each Performance Period, the Committee shall have full authority to (i) designate the Eligible Employees who shall participate in the Plan; (ii) establish the Performance Goals and achievement levels for each Participant pursuant to Article V hereof; and (iii) establish and certify the achievement of the Performance Goals.  Notwithstanding any provision of the Plan to the contrary, any decision concerning the awarding of Incentive Compensation hereunder (including, without limitation, establishment of Performance Goals, Threshold Achievement, Target Achievement, Maximum Achievement, and any other information necessary to calculate Incentive Compensation for a Covered Employee for such Performance Period) shall be made exclusively by the members of the Committee who are at that time “outside” directors, as that term is used in Section 162(m) of the Code and the treasury regulations promulgated thereunder.   3.2 Committee Action.  A majority of the Committee shall constitute a quorum, and the act of a majority of the members of the Committee present at a meeting at which a quorum is present shall be the act of the Committee.   3.3 Committee’s Powers.  The Committee shall have the power, in its discretion, to take such actions as may be necessary to carry out the provisions and purposes of the Plan and shall have the authority to control and manage the operation and administration of the Plan.  In order to effectuate the purposes of the Plan, the Committee shall have the discretionary power and authority to construe and interpret the Plan, to supply any omissions therein, to reconcile and correct any errors or inconsistencies, to decide any questions in the administration and application of the Plan, and to make equitable adjustments for any mistakes or errors made in the administration of the Plan.  All such actions or determinations made by the Committee, and the application of rules and regulations to a particular case or issue by the Committee, in good faith, shall not be subject to review by anyone, but shall be final, binding and conclusive on all persons ever interested hereunder.    To the extent permitted by applicable law, the Committee also may, in its discretion and by a resolution adopted by the Committee, authorize one or more officers of the Company (each an “Authorized Officer”), solely with respect to Employees who are not Covered Employees, within the ten most highly compensated officers of the Company, or Authorized Officers to: (i) determine the amount of Incentive Compensation payable to such Employees in accordance with the terms of the Plan; (ii) establish Performance Goals for such Employees, and certify whether, and to what extent, such Performance Goals were achieved for the applicable Performance Period; and (iii) reduce Incentive Compensation payable to such Employees in accordance with the provisions of Section 5.6, and authorize payment to such Employees in accordance with Article VI.      In construing the Plan and in exercising its power under provisions requiring the Committee’s approval, the Committee shall attempt to ascertain the purpose of the provisions in question, and when the purpose is known or reasonably ascertainable, the purpose shall be given effect to the extent feasible.  

 

  5 Likewise, the Committee is authorized to determine all questions with respect to the individual rights of all Participants under this Plan, including, but not limited to, all issues with respect to eligibility.  The Committee shall have all powers necessary or appropriate to accomplish its duties under this Plan including, but not limited to, the power to:   (a) designate the Eligible Employees who shall participate in the Plan;  (b) maintain complete and accurate records of all Plan transactions and other data in the manner necessary for proper administration of the Plan;  (c) adopt rules of procedure and regulations necessary for the proper and efficient administration of the Plan, provided the rules and regulations are not inconsistent with the terms of the Plan as set out herein.  All rules and decisions of the Committee shall be uniformly and consistently applied to all Participants in similar circumstances;   (d) enforce the terms of the Plan and the rules and regulations it adopts;  (e) review claims and render decisions on claims for benefits under the Plan;  (f) furnish the Company or the Participants, upon request, with information that the Company or the Participants may require for tax or other purposes;  (g) employ agents, attorneys, accountants or other persons (who also may be employed by or represent the Company) for such purposes as the Committee considers necessary or desirable in connection with its duties hereunder; and  (h) perform any and all other acts necessary or appropriate for the proper management and administration of the Plan.  Article IV Eligibility   For each Performance Period, the Committee shall select the particular Eligible Employees to whom Incentive Compensation may be awarded for such Performance Period; with respect to Covered Employees, such determination shall be made within the first ninety (90) days of such Performance Period (and in the case of a Performance Period that is less than twelve (12) months, such determination shall be made no later than the date that 25% of the Performance Period has elapsed).  To the extent permitted by the Committee, Employees who participate in the Plan may also participate in other incentive or benefit plans of the Company or any Subsidiary.  Senior management of each Business Unit shall recommend to the Committee within not more than ninety (90) days after the beginning of a Performance Period (and in the case of a Performance Period less than a Fiscal Year, such determination shall be made no later than the date that 25% of the Performance Period has elapsed), those Employees of such Business Unit to be eligible to participate in the Plan for such Performance Period; the Committee shall consider, but shall not be bound by, such recommendations.  Notwithstanding any provision in this Plan to the contrary, the Committee may grant one or more Awards to an Eligible Employee at any time, and from time to time, and the Committee shall have the discretion to determine whether any such Award shall be a Short-Term Award, an Annual Award or a Long-Term Award.     

 

  6 Article V Determination of Goals and Incentive Compensation   5.1 Establishment of Performance Goals.  No later than the ninetieth (90th) day of the Performance Period (and in the case of a Performance Period less than a Fiscal Year, such determination shall be made no later than the date that 25% of the Performance Period has elapsed), the Committee shall approve and deliver to the Chief Executive Officer of the Company a written report setting forth, as applicable, the following: (i) the Business Unit Performance Goals for the Performance Period, (ii) Company Performance Goals for the Performance Period, (iii) the Individual Performance Goals for the Performance Period (if any), (iv) the Threshold Achievement, Target Achievement, and Maximum Achievement levels for the Performance Goals for the Performance Period, (v) with respect to each Participant, Incentive Compensation as a percentage of Base Pay for achievement of Threshold Achievement, Target Achievement, and Maximum Achievement levels and the relative weighting of each Performance Goal in determining the Participant’s Incentive Compensation, and (vi) a schedule setting forth the payout opportunity as a percentage of Base Pay for Threshold Achievement, Target Achievement, and Maximum Achievement levels.  The Committee may delegate to the CEO to establish and report to the Committee for each Participant (other than the CEO) the determinations under items (i) through (vi) above.  The Committee shall consider, but shall not be bound by, the recommendations and determinations of the CEO with respect to such items.     5.2 Categories of Business Unit Performance Goals.  The Business Unit Performance Goals, if any, established by the Committee for any Performance Period may differ among Participants and Business Units.  For each Business Unit, the Business Unit Performance Goals shall be based on the performance of the Business Unit.  Performance criteria for a Business Unit shall be related to the achievement of financial and operating objectives of the Business Unit, which, where applicable, shall be within the meaning of Section 162(m) of the Code, and consist of one or more or any combination of the following criteria: (a) income from operations; (b) net income; (c) income from continuing operations; (d) basic and diluted earnings per share; (e) Total Company Adjusted EBITDA, Total Company Adjusted EBITDA ratios and margins, Segment Adjusted EBITDA and Segment Adjusted EBITDA ratios and margins; (f) sales volumes and changes in sales volumes; (g) average selling prices and changes in average selling prices; (h) material margin spreads and changes in material margin spreads; (i) revenues, revenue growth and revenue ratios; (j) Adjusted Gross Profit and Adjusted Gross Profit margins; (k) Adjusted Net Income from Continuing Operations and Adjusted Net Income from Continuing Operations per share (basic or diluted); (l) cash flows, Adjusted Free Cash Flow and changes in cash flow and Adjusted Free Cash Flow; (m) debt, Net Debt, changes in debt and Net Debt and debt and Net Debt ratios; (n) total stockholder return, stockholder return based on growth measures or the attainment by the shares of a specified value for a specified period of time, share price or share price appreciation; (o) price of the Company’s common stock, stockholder value, total market value; (p) return on assets, return on invested capital, or other return measures, including return or net return on working assets, equity, capital or sales; (q) value of assets; (r) market share or market penetration with respect to specific designated products or product groups and/or specific geographic areas; (s) expense or cost levels; (t) reduction of losses, loss ratios or expense ratios; (u) reduction in fixed assets; (v) operating cost management; (w) management of capital structure; (x) capital expenditures; (y) net borrowing; (z) credit quality or debt ratings; (aa) productivity improvements; (bb) satisfaction of specified business expansion goals or goals relating to acquisitions or divestitures; (cc) customer satisfaction based on specified objective goals or a Company-sponsored customer survey; (dd) customer growth; (ee) employee diversity goals; (ff) employee turnover; (gg) specified objective social goals; (hh) safety record; (ii) productivity goals; (jj) the accomplishment of mergers, acquisitions, dispositions, public offerings or similar extraordinary business transactions; or (kk) other objectively measurable factors directly tied to the performance of the Company or any Business Unit (each, a “Performance Criteria”).  Any Performance Criteria may be measured in absolute terms, relative to a peer group or index, relative to past performance, or as otherwise determined 

 

  7 by the Committee. Any Performance Criteria may include or exclude (i) extraordinary, unusual and/or non-recurring items of gain or loss, (ii) gains or losses on the disposition of a business, (iii) changes in tax or accounting regulations or laws, or (iv) the effect of a merger or acquisition, as identified in the Company’s quarterly and annual earnings releases.  In all other respects, Performance Criteria shall be calculated in accordance (i) with the Company’s financial statements, (ii) under generally accepted accounting principles, or (iii) under a methodology established by the Committee which is consistently applied and identified in the audited financial statements, the Company’s earnings releases or filings with the Securities and Exchange Commission.   5.3 Company Performance Goals.  The Company Performance Goals, if any, established by the Committee for any Performance Period shall relate to the achievement of predetermined financial and operating objectives for the Company and its Subsidiaries on a consolidated basis, which, where applicable, shall be within the meaning of Section 162(m) of the Code and consist of one or more of any combination of the factors set forth in Section 5.2 above, as applied to the Company and its Subsidiaries on a consolidated basis.  The Company Performance Goals may be established either on an absolute or on a per share basis reflecting dilution of shares as the Committee deems appropriate and, if the Committee so determines, net of or including cash dividends (if any).  The Company Performance Goals may also be established on a relative basis as compared to the performance of a published or special index deemed applicable by the Committee including, but not limited to, a group of companies deemed by the Committee to be comparable to the Company.     5.4 Certification.  Within seventy-five (75) days after the end of each Performance Period, the senior management of the Company and each Business Unit shall report to the Committee the extent to which Company and Business Unit Performance Goals were achieved for the Performance Period.  As soon as practicable following the finalization of the Company’s financial statements or receipt of the Independent Auditor’s Report on the Company’s financial statements for a Performance Period consisting of one or more Fiscal Years covered by the financial statements or other accounting finalizing of the Company’s financial results for any Performance Period and receipt of the report of the Company and Business Unit senior management, the Committee shall certify in writing and, where applicable, in compliance with the requirements of Treasury Regulation 1.162-27 (and successor regulations thereto) in the case of any Award intended to qualify under Section 162(m) of the Code: (i) the extent to which each Business Unit achieved its Business Unit Performance Goals, if any, for the Performance Period, (ii) the extent to which the Company achieved its Company Performance Goals, if any, for the Performance Period, (iii) the calculation of the Participants’ Incentive Compensation, and (iv) the determination by the Committee of the amount of Incentive Compensation, if any, to be paid to each Participant for the Performance Period. In determining whether Performance Goals have been achieved and Incentive Compensation is payable for a given Performance Period, generally accepted accounting principles to the extent applicable to the Performance Goal shall be applied on a basis consistent with prior periods, and such determinations shall be based on the calculations made by the Company and binding on each Participant.  Approved minutes of the Committee meeting in which the certification required by this Section 5.4 is made shall be treated as written certification for purposes for this Section 5.4.  5.5 Award Based on Level of Achievement.  If Threshold Achievement is attained with respect to a Performance Goal, then the Incentive Compensation that may be paid to such Participant with respect to such Performance Goal shall be based on a specified percentage of Base Pay and the Committee’s predetermined schedule (which may allow for interpolation between achievement levels) setting forth the earned award as a percentage of Base Pay.     5.6 Discretion to Reduce Incentive Compensation.  After the certification described in Section 5.4 the Committee may, in its sole and absolute discretion, decrease the Incentive Compensation to be paid to one or more Participants for such Performance Period.  The Committee may consider 

 

  8 subjective factors, including factors communicated to the Participant at the beginning of the Performance Period or other factors the Committee considers appropriate, and including any Individual Performance Goals set for the Participant for the given Performance Period, in determining whether to reduce the Incentive Compensation to be paid to a Participant.  Individual Performance Goals need not have been established during the specific time periods set forth in Section 5.1 above for the establishment of Company Performance Goals and Business Unit Performance Goals.   5.7 Limitation on Total Incentive Compensation.  Notwithstanding any provision to the contrary contained herein, the maximum Incentive Compensation payable to any Participant with respect to any single Award shall not exceed $1,750,000.    Article VI Payment of Incentive Compensation  6.1 Form and Time of Payment.  Subject to the provisions of Sections 6.2 and 6.3 below and except as otherwise provided herein, a Participant’s Incentive Compensation for each Performance Period shall be paid as soon as practicable after the results for such Performance Period have been finalized, but in no event later than the date that is 21⁄2 months immediately following the close of Fiscal Year in which such Performance Period ended.  The payment shall be in the form of a cash lump sum payment.  6.2 Forfeiture Upon Termination Prior to Date of Payment.  If a Participant’s employment with the Company and all of its Subsidiaries is terminated voluntarily by the Participant for any reason, or is terminated by his or her employer for any reason, during a Performance Period or after a Performance Period but prior to the date of actual payment in accordance with Section 6.1 above, then such Participant will immediately forfeit any right to receive any Incentive Compensation hereunder for such Performance Period.     6.3 Pro Rata Payment for New Hires; Promotions.    (a) New Hires.  Any individual who is newly-hired or becomes an Eligible Employee during a Performance Period and who is selected by the Committee to participate in the Plan shall be eligible to receive a pro rata portion of the Incentive Compensation to which he or she could have been entitled if he or she had been employed for the full Performance Period, based on the number of full months during the Performance Period during which he or she is a Participant in the Plan and calculated on the basis of his or her Base Pay received for the Performance Period.  Such Incentive Compensation shall be paid at the time and in the manner set forth in Section 6.1 hereof.   (b) Promotions.  In the case of a promotion or transfer from a position where an individual was already a Participant for Incentive Compensation for a Performance Period to a position where the Participant is eligible for a higher or lower maximum amount of Incentive Compensation, the Participant shall complete his or her participation in the prior position until the end of the complete month containing his or her date of promotion or transfer, prior to participating in the Performance Period for the transferred or promoted position.  The overall Incentive Compensation will be pro-rated for both Performance Periods.  In calculating the pro- rated amount, (i) the prior Performance Period will be prorated using the Participant’s Base Pay immediately prior to the date of promotion or transfer, and (ii) the subsequent Performance Period will be pro-rated using the Participant’s Base Pay at the end of the Performance Period.  If a Participant is transferred to a lateral position (i.e., the same job grade or level), then the Incentive Compensation will not be pro-rated based on the lateral change in position.  

 

  9   Article VII Miscellaneous Provisions  7.1 Non-Assignability.  A Participant may not alienate, assign, pledge, encumber, transfer, sell or otherwise dispose of any rights or benefits awarded hereunder prior to the actual receipt thereof; and any attempt to alienate, assign, pledge, sell, transfer or assign prior to such receipt, or any levy, attachment, execution or similar process upon any such rights or benefits shall be null and void.  7.2 No Right To Continue In Employment.  Nothing in the Plan confers upon any Employee the right to continue in the employ of the Company or any Subsidiary, or interferes with or restricts in any way the right of the Company and its Subsidiaries to discharge any Employee at any time (subject to any contract rights of such Employee), including, without limitation, before or after the date such Participant is entitled to payment with respect to an Award.  7.3 Indemnification of Committee; No Duties; Waiver of Claims.  No member of the Committee, nor any officer or Employee of the Company acting with or on behalf of the Committee, shall be personally liable for any action, determination, or interpretation taken or made in good faith with respect to the Plan, and all of the members of the Committee and each and any officer or Employee of the Company acting with or on their behalf shall, to the extent permitted by law, be fully indemnified and protected by the Company with respect to any such action, determination or interpretation.  Except to the extent required by any unwaiveable requirement under applicable law, no member of the Committee (and no officer, Employee or Subsidiary of the Company) shall have any duties or liabilities, including without limitation any fiduciary duties, to any Participant (or any person claiming by and through any Participant) as a result of this Plan, any Award or any Claim arising hereunder and, to the fullest extent permitted under applicable law, each Participant (as consideration for receiving and accepting an Award) irrevocably waives and releases any right or opportunity such Participant might have to assert (or participate or cooperate in) any Claim against any member of the Committee and any officer, Employee or Subsidiary of the Company, arising out of this Plan.  7.4 No Trust or Plan Funding.  The Company (and not any of its Subsidiaries) will be solely responsible for the payment of all amounts hereunder.  The Plan shall at all times be entirely unfunded and no provision shall at any time be made with respect to segregating assets of the Company for payment of any amounts hereunder.  Neither the Plan nor any Award shall create or be construed to create a trust or separate fund of any kind or a fiduciary relationship between the Company and any Participant.  No Participant, beneficiary, or other person shall have any interest in any particular assets of the Company (or any of its Subsidiaries) by reason of the right to receive any Incentive Compensation under the Plan.  To the extent that any Participant acquires a right to receive any payment from the Company pursuant to an Award, such right shall be no greater than the right of any general unsecured creditor of the Company.  7.5 Governing Law.  This Plan shall be construed in accordance with the laws of the State of Texas, without giving effect to principles of conflict of laws, and the rights and obligations created hereby shall be governed by the laws of the State of Texas.  The Participant’s sole remedy for any claim, liability or obligation of any nature, arising out of or relating to this Plan or an alleged breach of this Plan, or an Award (collectively, “Claims”) shall be against the Company, and no Participant shall have any claim or right of any nature against any Subsidiary or any owner or existing or former director, officer or Employee of the Company or any Subsidiary.  The individuals and entities described above in this Section 7.5 (other than the Company) shall be third-party beneficiaries of this Plan for purposes of enforcing the terms of this Section 7.5.  

 

  10 7.6 Binding Effect.  This Plan shall be binding upon and inure to the benefit of the Company, its successors and assigns, and the Participants, and their heirs, assigns, and personal representatives.  7.7 Construction of Plan.  The captions used in this Plan are for convenience only and shall not be construed in interpreting the Plan.  Whenever the context so requires, the masculine shall include the feminine and neuter, and the singular shall also include the plural, and conversely.  7.8 Integrated Plan.  This Plan constitutes the final and complete expression of agreement with respect to the subject matter hereof.  7.9 Tax Requirements.  The Company (and, where applicable, its Subsidiaries) shall have the power and the right to deduct or withhold, or require a Participant to remit to the Company, an amount sufficient to satisfy applicable taxes required by law to be withheld with respect to any payment of any Incentive Compensation to a Participant.  7.10 Accounting of Compensation.  Unless otherwise specifically provided in such benefit plan, any amounts paid to a Participant hereunder shall not be treated as compensation paid to such Participant for the purposes of any other benefit plan.  7.11 Adjustments. In the event of (a) any merger, reorganization, consolidation, recapitalization, liquidation, reclassification, stock dividend, stock split, combination of shares, rights, offering, extraordinary dividend (including a spin-off), or other similar change affecting the Company’s common stock; (b) any purchase, acquisition, sale, or disposition of a significant amount of assets other than in the ordinary course of business, or of a significant business; (c) any change resulting from the accounting effects of discontinued operations, extraordinary income or loss, changes in accounting as determined under generally accepted accounting principles, or restatement of earnings; or (d) any charge or credit resulting from an item which is classified as “non-recurring,” “restructuring,” or similar unusual item on the Company’s audited financial statements which, in the case of (a) – (d), results in a change in the components of the calculations of any of the criteria upon which the Performance Goals are based, as established by the Committee, in each case with respect to the Company or any other entity whose performance is relevant to the achievement of any Performance Goal included in an Award, the Committee shall, without the consent of any affected Participant, amend or modify the terms of any outstanding Award that includes any Performance Goal based in whole or in part on the financial performance of the Company (or any Subsidiary or division thereof) or such other entity so as equitably to reflect such event or events, such that the criteria for evaluating such financial performance of the Company or such other entity (and the achievement of the corresponding Performance Goal) will be substantially the same (as determined by the Committee or the committee of the board of directors of the surviving corporation) following such event as prior to such event; provided, however, that the Committee shall not take any action pursuant to this Section which would constitute an impermissible exercise of discretion pursuant to Section 162(m) of the Code.  Article VIII Amendment or Discontinuance  The Committee may at any time and from time to time, without the consent of the Participants, alter, amend, revise, suspend, or discontinue the Plan in whole or in part; provided that any amendment that modifies any pre-established Performance Goal for a Participant who is a Covered Employee (or his successor(s), as may be applicable) under this Plan with respect to any particular Performance Period may only be effected on or prior to that date which is ninety (90) days following the commencement of such Performance Period (and in the case of a Performance Period less than a Fiscal Year, such determination shall be made no later than the date that 25% of the Performance Period has elapsed).  In addition, the 

 

  11 Board shall have the power to discontinue the Plan in whole or in part and amend the Plan in any manner advisable in order for Incentive Compensation granted under the Plan to qualify as “performance-based” compensation under Section 162(m) of the Code (including amendments as a result of changes to Section 162(m) of the Code or the regulations thereunder to permit greater flexibility with respect to Incentive Compensation granted under the Plan).   Article IX Effect of the Plan  Neither the adoption of this Plan nor any action of the Board or the Committee shall be deemed to give any Participant any right to be granted Incentive Compensation or any other rights.  In addition, nothing contained in this Plan and no action taken pursuant to its provisions shall be construed to (a) give any Participant any right to any compensation, except as expressly provided herein; (b) be evidence of any agreement, contract or understanding, express or implied, that the Company or any Subsidiary will employ a Participant in any particular position; (c) give any Participant any right, title, or interest whatsoever in or to any investments which the Company may make to aid it in meeting its obligations hereunder; or (d) create a trust of any kind or a fiduciary relationship between the Company and a Participant or any other person.  Article X Section 409A of the Code  This Plan is intended to be exempt from Section 409A of the Code and shall be interpreted in a manner consistent with Section 409A of the Code and the treasury regulations and guidance issued thereunder.  If an Award is subject to Section 409A, to the extent (i) any payment for such Award to which a Participant becomes entitled under this Plan in connection with the Participant’s termination of service with the Company (for reasons other than death) constitutes a payment of deferred compensation subject to Section 409A of the Code, and (ii) the Participant is deemed at the time of such termination to be a “specified employee” under Section 409A of the Code to whom the following provisions must apply, then such payment shall not be made or commence until the earliest of (A) the expiration of the six (6) month period measured from the date of Participant’s termination of service with the Company; or (B) the date of the Participant’s death following such termination of service.  Upon the expiration of the applicable deferral period, any payment which would have otherwise been made during that period in the absence of this Article X shall be made to the Participant or the Participant’s beneficiary.  Article XI Term  The effective date of this Plan shall be as of January 1, 2017, subject to stockholder approval.  The material terms of this Plan shall be disclosed and submitted to the stockholders of the Company at the next annual meeting of stockholders and thereafter every five (5) years (unless earlier terminated) for approval in accordance with the requirements of Section 162(m) of the Code. This Plan and any benefits granted hereunder shall be null and void if stockholder approval is not obtained at the applicable meeting of stockholders of the Company, and no award or payment of Incentive Compensation under this Plan to any Covered Employee shall be made unless such applicable stockholder approval is obtained.  This Plan shall remain in effect until it is terminated by the Committee or the Board.   * * * * *  

 

   IN WITNESS WHEREOF, the Company has caused this instrument to be executed as of May 18, 2017, by its Chief Executive Officer pursuant to prior action taken by the Board. U.S. CONCRETE, INC. By: /s/ William J. Sandbrook Name: William J. Sandbrook Title: President and Chief Executive OfficerEXHIBIT 10.1

 

THE McCLATCHY COMPANY

2012 OMNIBUS INCENTIVE PLAN,

AS AMENDED AND RESTATED AS OF MARCH 23, 2017

STOCK APPRECIATION RIGHTS AGREEMENT

 

THIS STOCK APPRECIATION
RIGHTS AGREEMENT (the “Agreement”) is entered into as of [_______] (the
“Grant Date”), by and between THE McCLATCHY COMPANY, a Delaware corporation (the “Company”) and [_______]
(the “Grantee”).

 

W I T N E S S E T H:

 

WHEREAS, the Board
of Directors of the Company has established THE McCLATCHY COMPANY 2012 OMNIBUS INCENTIVE PLAN, AS AMENDED AND RESTATED AS OF
MARCH 23, 2017 (as it may be further amended from time to time, the “Plan”) in order to provide selected employees
of the Company and its Affiliates with an award of stock appreciation rights (“SARs”); and

 

WHEREAS, the Committee
has determined that it would be in the best interests of the Company and its stockholders to grant the SARs described in this Agreement
to the Grantee as an inducement to remain in the service of the Company and as an incentive for extraordinary efforts during such
service.

 

NOW, THEREFORE, it
is agreed as follows:

 

SECTION 1. GRANT OF STOCK APPRECIATION RIGHTS.

 

(a)       Grant.
Subject to the terms and conditions stated below, the Company hereby grants to the Grantee an award of SARs covering [_______]
shares of Stock, pursuant to which the Grantee shall be eligible for the payment described in Section 4(b) of this Agreement. The
SAR Price for the SARs granted pursuant to this Agreement is $[______] per SAR, which
is agreed to be 100% of the Fair Market Value per share of Stock on the Grant Date.

 

(b)       Plan.
The SARs under this Agreement are granted pursuant to the Plan, a copy of which the Grantee acknowledges having received and read.
The provisions of the Plan are incorporated into this Agreement by reference, and any defined terms not defined herein shall have
the meaning prescribed in the Plan.

 

SECTION 2. NO TRANSFER OR ASSIGNMENT OF SARs.

 

Except as otherwise
provided in this Agreement, the SARs granted hereunder and the rights and privileges conferred hereby shall not be transferred,
assigned, pledged or hypothecated in any way (whether by operation of law or otherwise) and shall not be subject to sale under
execution, attachment or similar process. Upon any attempt to transfer, assign, pledge, hypothecate or otherwise dispose of the
SARs or of any right or privilege conferred hereby contrary to the provisions hereof, or upon any attempted sale under any execution,
attachment or similar process upon the rights and privileges conferred hereby, the SARs and the rights and privileges conferred
hereby shall immediately become null and void.

 

     

     

    

 

SECTION 3. VESTING AND RIGHT TO EXERCISE.

 

(a)       Vesting.
[These SARs shall vest and become exercisable in installments only to the extent the Grantee remains in Service on such date listed
below (each, a “Vesting Date”), and only before they expire, as follows:]

 

	Vesting Date:	 	Percentage of

SARs Exercisable:
	March 1, 20[__]	 	[25%]
	March 1, 20[__]	 	[50%]
	March 1, 20[__]	 	[75%]
	March 1, 20[__]	 	[100%]

  

The number of Shares
determined by applying the applicable percentage shall be rounded to the nearest integer. [The foregoing notwithstanding, the SARs
shall vest and become exercisable in full in the event that the Grantee’s Service is terminated after the Grantee has accumulated
10 or more continuous years of Service (i) because of death or Disability, or (ii) for any reason at any time when the Grantee
is 62 years of age or older. In the event that the Grantee’s Service is terminated for any reason after having accumulated
10 or more continuous years of Service and when Grantee is 55 to 62 years of age, two additional installments (as set forth in
the table above) shall become vested and exercisable. No additional SARs will vest after the Grantee’s Service has terminated
for any reason.]

 

(b)       Leaves
of Absence. For purposes of this Agreement, the Grantee’s Service does not terminate when the Grantee goes on a bona
fide leave of absence that was approved by the Company in writing if the terms of the leave provide for continued Service crediting,
or when continued Service crediting is required by Applicable Law. The Grantee’s Service terminates in any event when the
approved leave ends unless the Grantee immediately returns to active employee work. The Committee determines, in its sole discretion,
which leaves count for this purpose and when the Grantee’s Service terminates for all purposes under the Plan.

 

(c)       Partial
Exercise. No partial exercise of the SARs may be made for SARs pertaining to less than 100 shares of Stock (without regard
to adjustments).

 

(d)       Acceleration
upon Change in Control. Notwithstanding any contrary provision of the Plan or this Agreement, upon a Change in Control
while the Grantee remains in Service, the Grantee shall be entitled to immediate 100% vesting of any unexpired, outstanding SARs
granted to him or her under this Agreement.

 

    - 2 -

     

    

 

SECTION 4. PROCEDURES FOR THE EXERCISE AND SETTLEMENT
OF SARs.

 

(a)       Notice
of Exercise. The Grantee or the Grantee’s representative may exercise the SARs by giving written notice to the Secretary
of the Company pursuant to Section 11(d) on the form prescribed by the Company. The notice shall specify the election to exercise
the SARs, the number of SARs for which it is being exercised, and whether share withholding to pay taxes will be used. The notice
shall be signed by the person or persons exercising the SARs. In the event that the SARs are being exercised by the representative
of the Grantee, the notice shall be accompanied by proof satisfactory to the Company of the representative’s right to exercise
the SARs.

 

(b)       Issuance
of Shares of Stock. After receiving a proper notice of exercise, the Company shall cause to be issued the whole number
of shares of Stock whose value is an amount equal to the difference between the Fair Market Value of a share of Stock on the exercise
date and the SAR Price, multiplied by the number of shares of Stock covered by the SARs being exercised. Fractional shares of Stock
shall be paid in cash. After receiving a proper notice of exercise, the Company shall cause to be issued a certificate or certificates
for the shares of Stock for which the SARs have been exercised, registered in the name of the person exercising the SARs (or in
the names of such person and his or her spouse as community property or as joint tenants with right of survivorship). The Company
shall cause such certificate or certificates to be delivered to or upon the order of the person exercising the SARs. Notwithstanding
the foregoing, in the Company’s discretion, the certificates for the shares of Stock so issued may be recorded using the
book-entry method of recording share issuance and dividends.

 

SECTION 5. TERM AND EXPIRATION.

 

(a)       Term.
These SARs shall in any event expire on the day before the tenth anniversary of the Grant Date.

 

(b)       Termination
of Service (Except by Death). Subject to Section 5(a) above, if the Grantee’s Service terminates for any reason,
other than death, then the SARs shall expire on the earliest of the following occasions:

 

(i)       The
expiration date determined pursuant to Section 5(a) above;

 

(ii)       [The
date three years after the termination of the Grantee’s Service, if the termination occurs on or after the date the Grantee
has accumulated 10 or more continuous years of Service, and, provided, further, that the Grantee is at least 55 years of age on
such termination date;

 

(iii)       The
date three years after the termination of the Grantee’s Service, if the termination occurs because of his or her Disability;
or

 

(iv)       The
date 90 days after the termination of the Grantee’s Service, if the termination is not described in Paragraphs (ii) or (iii)
above.]

 

    - 3 -

     

    

 

In the event that the
Grantee dies after the termination of his or her Service but before the expiration of the SARs, all or part of such SARs may be
exercised (prior to expiration) by the executors or administrators of the Grantee’s estate or by any person who has acquired
such SARs directly from the Grantee by bequest or inheritance, but only to the extent that such SARs had become exercisable before
the Grantee’s Service terminated or became exercisable as a result of the termination.

 

(c)       Death
of Grantee. If the Grantee’s Service terminates on account of death, then the SARs shall expire on the earlier of
the following dates:

 

(i)       The
expiration date determined pursuant to Section 5(a) above; or

 

(ii)       The
date three years after his or her death.

 

All or part of the
Grantee’s vested SARs may be exercised at any time before the expiration of such vested SARs under the preceding sentence
by the executors or administrators of the Grantee’s estate or by any person who has acquired such SARs directly from the
Grantee by bequest or inheritance.

 

SECTION 6. LEGALITY OF INITIAL ISSUANCE.

 

No shares of Stock
shall be issued upon the exercise of the SARs unless and until the Company has determined that:

 

(a)       The
Company and the Grantee have taken any actions required to register the shares of Stock under the Securities Act or to perfect
an exemption from the registration requirements thereof;

 

(b)       Any
applicable listing requirement of any Stock Exchange on which the Stock is listed has been satisfied; and

 

(c)       Any
other applicable provision of Applicable Law has been satisfied.

 

SECTION 7. NO REGISTRATION RIGHTS.

 

The Company may, but
shall not be obligated to, register or qualify the sale of the shares of Stock under the Securities Act or any other Applicable
Law. The Company shall not be obligated to take any affirmative action in order to cause the sale of the shares of Stock under
this Agreement to comply with any law.

 

SECTION 8. RESTRICTIONS ON TRANSFER
OF SHARES OF STOCK.

 

Regardless of whether
the offering and sale of the shares of Stock under the Plan have been registered under the Securities Act or have been registered
or qualified under the securities laws of any state, the Company may impose restrictions upon the sale, pledge or other transfer
of such shares of Stock (including the placement of appropriate legends on stock certificates) if, in the judgment of the Company
and its counsel, such restrictions are necessary or desirable in order to achieve compliance with the provisions of the Securities
Act, the securities laws of any state or any other Applicable Law.

 

    - 4 -

     

    

 

SECTION 9. ADJUSTMENT OF STOCK.

 

(a)       General.
If the number of outstanding shares of common stock is increased or decreased or the shares of common stock are changed into or
exchanged for a different number or kind of stock or other securities of the Company on account of any recapitalization, reclassification,
stock split, reverse split, combination of Stock, exchange of stock, stock dividend or other distribution payable in capital stock,
or other increase or decrease in such stock effected without receipt of consideration by the Company occurring after the Grant
Date, the Committee shall make appropriate adjustments in one or both of (i) the number of shares of Stock covered by the SARs
or (ii) the SAR Price.

 

(b)       Merger
or Reorganization. In the event that the Company is a party to a merger or other reorganization, the SARs covered by this
Agreement shall be subject to the agreement of merger or reorganization. Such agreement may provide, without limitation, for the
assumption of these SARs by the surviving corporation or its parent, for its continuation by the Company (if the Company is a surviving
corporation) or for settlement in cash.

 

(c)       Reservation
of Rights. Except as provided in this Section 9, the Grantee shall have no rights by reason of any subdivision or consolidation
of shares of Stock of any class, the payment of any stock dividend or any other increase or decrease in the number of shares of
Stock of any class. Any issue by the Company of shares of stock of any class, or securities convertible into shares of stock of
any class, shall not affect, and no adjustment by reason thereof shall be made with respect to, the number of shares of Stock subject
to the SARs or the SAR Price. The grant of these SARs shall not affect in any way the right or power of the Company to make adjustments,
reclassifications, reorganizations or changes of its capital or business structure, to merge or consolidate or to dissolve, liquidate,
sell or transfer all or any part of its business or assets.

 

SECTION 10. CERTAIN CUT-BACK OF PAYMENTS.

 

Notwithstanding anything
to the contrary in this Agreement, if payments made pursuant to this Agreement are considered “parachute payments”
under Code Section 280G, then the sum of such parachute payments plus any other payments made by the Company to the Grantee which
are considered parachute payments shall be limited to the greatest amount which may be paid to the Grantee under Code Section 280G
without causing any loss of deduction to the Company under such section; but only if, by reason of such reduction, the Committee
reasonably determines that the net after tax benefit of Grantee shall exceed the net after tax benefit if such reduction were not
made.  The Company shall accomplish any such reduction required pursuant to this Section 10 by first reducing or eliminating
any cash payments (with the payments to be made furthest in the future being reduced first), then by reducing or eliminating any
accelerated vesting of Performance-Based Awards, then by reducing or eliminating any accelerated vesting of Options or SARs, then
by reducing or eliminating any accelerated vesting of Restricted Stock or Restricted Stock Units, then by reducing or eliminating
any other remaining parachute payments.

 

    - 5 -

     

    

 

SECTION 11. MISCELLANEOUS PROVISIONS.

 

(a)       Withholding
Taxes. In the event that the Company determines that it is required to withhold foreign, federal, state or local tax as
a result of the exercise of the Grantee’s SARs and delivery of shares of Stock pursuant to this Agreement, the Grantee, as
a condition to the exercise of the SARs, shall make arrangements satisfactory to the Company to enable it to satisfy all withholding
requirements. The Grantee shall also make arrangements satisfactory to the Company to enable it to satisfy any withholding requirements
that may arise in connection with the disposition of shares of Stock purchased by exercising the SARs. Satisfactory arrangements
shall include share withholding and/or delivery of previously owned shares of Stock in an amount equal to the applicable withholding
or other taxes due. Notwithstanding the foregoing, the Company may, in its sole discretion, elect to satisfy all applicable withholding
requirements by share withholding without the Grantee’s consent.

 

(b)       Rights
as a Stockholder. Neither the Grantee nor the Grantee’s representative shall have any rights as a stockholder with
respect to any shares of Stock subject to the SARs. The Grantee shall have no rights as a stockholder with respect to the shares
of Stock the Grantee receives in settlement of SARs that the Grantee exercises until such shares of Stock have been issued in the
name of the Grantee or the Grantee’s representative.

 

(c)       No
Employment Rights. Nothing in this Agreement shall be construed as giving the Grantee the right to be retained as an employee
or in any Service capacity. The Company reserves the right to terminate the Grantee’s Service at any time and for any reason.

 

(d)       Notice.
Any notice required by the terms of this Agreement shall be given in writing and shall be deemed effective upon personal delivery
or upon deposit with the United States Postal Service, by registered or certified mail with postage and fees prepaid and addressed
to the party entitled to such notice at the address shown below such party’s signature on this Agreement, or at such other
address as such party may designate by 10 days’ advance written notice to the other party to this Agreement.

 

(e)       Consent
to Electronic Delivery. The Company may choose to deliver certain statutory materials relating to the Plan in electronic
form. By accepting the SARs, the Grantee agrees that the Company may deliver the Plan prospectus and the Company’s annual
report to the Grantee in electronic format. If at any time the Grantee prefers to receive paper copies of such documents, as the
Grantee is entitled to, the Company will provide copies. Request for paper copies of such documents may be made to the Secretary
of the Company at 916-321-1828 or bmcconkey@mcclatchy.com.

 

(f)       Entire
Agreement. This Agreement and the Plan constitute the entire contract between the parties hereto with regard to the subject
matter hereof.

 

(g)       Choice
of Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Delaware, as such
laws are applied to contracts entered into and performed in such state.

 

[INTENTIONALLY LEFT BLANK]

 

    - 6 -

     

    

 

IN WITNESS WHEREOF,
the Company has caused this Agreement to be executed on its behalf by its officer duly authorized to act on behalf of the Committee,
and the Grantee has personally executed this Agreement.

 

	 	THE McCLATCHY COMPANY
	 	 	 
	 	 	 
	 	By	 
	 	 	Secretary
	 	 	 
	 	Company’s Address:
	 	 	 
	 	 	2100 Q Street
	 	 	Sacramento, CA 95816
	 	 	 
	 	 	 
	 	GRANTEE
	 	 	 
	 	 
	 	 	 
	 	Grantee’s Address:
	 	 
	 	 
	 	 
	 	 

  

    - 7 -

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