SEC Contract Filing

Filing Date: 2018-01-12

Document Content:
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<TYPE>EX-10.1
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<FILENAME>d526086dex101.htm
<DESCRIPTION>EX-10.1
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="right"><B>Exhibit 10.1</B> </P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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 </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">January&nbsp;8, 2018 </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Edmond
L. Harris </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:17%; font-size:10pt; font-family:Times New Roman"><B>Re: <U>Employment Letter Agreement</U></B> </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Dear Edmond: </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman">On behalf of CSX Corporation (the
&#147;<B>Company</B>&#148;), I am pleased to formalize the terms of your employment in your new role as Executive Vice President, Operations (EVP Operations) of the Company, reporting to me (or my successor) as the Chief Executive Officer of the
Company (the &#147;<B>CEO</B>&#148;). The terms of your employment are set forth below in this letter (the &#147;<B>Letter Agreement</B>&#148;). </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>1.</B><B> Employment Term</B>. Your employment will be on an <FONT STYLE="white-space:nowrap">&#147;at-will&#148;</FONT> basis, pursuant to
the terms and conditions of this Letter Agreement. Your employment with the Company will commence effective as of January&nbsp;8, 2018 (the &#147;<B>Start Date</B>&#148;) and will continue until the second anniversary of the Start Date (such period,
the &#147;<B>Term</B>&#148;) unless terminated earlier as provided herein. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>2.</B><B> Title and Nature of Duties</B>. You will be
employed as EVP Operations, reporting to me or my successor. You will have such duties and obligations as are customary for and commensurate with such position and will perform such other duties as may be reasonably assigned from time to time
consistent with your position by me or the Board of Directors of the Company (the &#147;<B>Board</B>&#148;). </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.</B> <B>Compensation
and Benefits</B>. </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>a.</B> <B>Base Salary</B>. You will be paid a starting annual base salary (&#147;<B>Base
Salary</B>&#148;) of $600,000.00, payable in accordance with the Company&#146;s normal payroll procedures. </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>b.</B>
<B>Annual Cash Incentive</B>. You will be eligible to participate in the Company&#146;s annual cash incentive program under the Company&#146;s Management Incentive </P>

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Compensation Plan (the &#147;<B>MICP</B>&#148;) on the same basis as other senior executives of the Company, with a target annual bonus of 90% of Base Salary (&#147;<B>Annual Bonus</B>&#148;)
with your actual Annual Bonus determined based on Company and individual performance. </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>c.</B> <B>Long Term
Incentives</B>. You will be eligible to participate in the Company&#146;s long term incentive plans (each an &#147;<B>LTIP</B>&#148;) on the same basis as other Executive Vice Presidents of the Company with LTIP grants in the aggregate amount of
$2,000,000.00 for each LTIP performance period (the &#147;<B>LTIP Awards</B>&#148;). </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman">Your 2018 Grant and future LTIP grants will be made
under the CSX 2010 Stock and Incentive Award Plan (the &#147;<B>Plan</B>&#148;) and will be subject to the terms thereof, the terms of the award agreements pursuant to which such grants are made and the terms set forth in this Letter Agreement. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>d.</B> <B><FONT STYLE="white-space:nowrap">Sign-on</FONT> Bonus Cash Bonus</B>. Within thirty (30)&nbsp;days following the
date of this Letter Agreement, the Company will pay you a <FONT STYLE="white-space:nowrap">sign-on</FONT> bonus of $250,000.00 (the &#147;<B>Sign</B><B></B><B>-On Cash Bonus</B>&#148;), as an incentive to join the Company. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>e.</B> <B><FONT STYLE="white-space:nowrap">Sign-On</FONT> Equity Award</B>. Within 30 days following the Start Date, the
Company will award you a long term incentive award with a grant date target value of $750,000.00 (the &#147;<B><FONT STYLE="white-space:nowrap">Sign-On</FONT> Equity Award</B>&#148;) as an incentive to join the Company. The <FONT
STYLE="white-space:nowrap">Sign-On</FONT> Equity Award will be comprised of 100% of stock options to acquire shares of the Company common stock, which will have an exercise price equal to the closing trading price of the Company&#146;s stock on the
date of grant. The <FONT STYLE=