SEC Contract Filing

Filing Date: 2024-05-30

Document Content:
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>2
<FILENAME>aap_exhibit103x04202024.htm
<DESCRIPTION>EX-10.3
<TEXT>
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<title>Document</title></head><body><div id="id94d897652bc4ee08435873df75bc972_35"></div><div style="min-height:72pt;width:100%"><div><font><br></font></div></div><div style="text-align:right"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">Exhibit 10.3</font></div><div style="text-align:center"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">Advance Auto Parts, Inc.</font></div><div style="text-align:center"><font><br></font></div><div style="text-align:center"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">2024 Performance-Based Restricted Stock Unit Award Agreement</font></div><div><font><br></font></div><div style="text-indent:18pt"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">This certifies that Advance Auto Parts, Inc. (the &#8220;Company&#8221;) has granted to &#60;Participant Name&#62; (the &#8220;Participant&#8221;) this award of Performance-Based Restricted Stock Units (this &#8220;Award&#8221;) and the Participant acknowledges and agrees that this Award and the opportunity to vest in the Performance-Based Restricted Stock Units (the &#8220;PSUs&#8221;) is sufficient consideration for the restrictive covenants set forth in this Performance-Based Restricted Stock Unit Award Agreement (this &#8220;Agreement&#8221;). This Award represents the right to receive a like number of shares (&#8220;Shares&#8221;) of Advance Auto Parts, Inc. Common Stock, $.0001 par value per share (the &#8220;Common Stock&#8221;), as indicated in the terms outlined below, subject to certain restrictions and on the terms and conditions contained in this Agreement and the Advance Auto Parts, Inc. 2023 Omnibus Incentive Compensation Plan (the &#8220;Plan&#8221;). In the event of any conflict between the terms of the Plan and this Agreement, the terms of the Plan shall govern. Any terms not defined herein shall have the meaning set forth in the Plan.</font></div><div><font><br></font></div><div style="padding-left:36pt;text-indent:-18pt"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">1.</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%;padding-left:9.91pt;text-decoration:underline">Grant of PSUs</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">&#58; As specified below, on the Award Date, the following Award of PSUs (at target level) has been granted to the Participant&#58;</font></div><div><font><br></font></div><div style="padding-left:36pt;text-indent:-18pt"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">2.</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%;padding-left:9.91pt;text-decoration:underline">Vesting</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">&#58; Subject to the remaining provisions of this Agreement&#58; </font></div><div><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%"> </font></div><div><font><br></font></div><div style="padding-left:36pt;text-indent:-18pt"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">3.</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%;padding-left:9.91pt;text-decoration:underline">Termination of Service</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">&#58; If, prior to the Performance Vesting Date, the Participant&#8217;s employment or other association with the Company and its affiliates ends for any reason, the Participant&#8217;s rights to unvested PSUs shall be immediately and irrevocably forfeited and the unvested Shares canceled and neither the Company nor any affiliate shall have any further obligations to the Participant under this Agreement. The foregoing notwithstanding, the following exceptions to the forfeiture of unvested PSUs apply&#58; </font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%;text-decoration:underline">Retirement</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:120%">&#58; If termination of employment or other affiliation is on account of Retirement (as defined below), then the Participant&#8217;s PSUs will vest on the Performance Vesting Date on a pro-rata basis for the number of full months worked during the applicable Performance Period and based on the actual level of achievement of the performance criteria outlined in this Agreement. &#8220;Retirement&#8221; is defined as termination of employment with the Company following attainment of the following minimum age and tenure requirements&#58; </font></div><div><font><br></font></div><div style="padding-left:72pt;text-indent:-18pt"><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:112%">a.</font><font style="color:#000000;font-family:'Franklin Gothic Book',sans-serif;font-size:9pt;font-weight:400;line-height:112%;padding-left:10.45pt;text-decoration:underline">Retir