{"id":38594,"date":"2015-09-17T11:25:58","date_gmt":"2015-09-17T16:25:58","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-legal\/contracts\/uncategorized\/change-in-control-agreement-willamette-industries-inc.html"},"modified":"2015-09-17T11:25:58","modified_gmt":"2015-09-17T16:25:58","slug":"change-in-control-agreement-willamette-industries-inc","status":"publish","type":"corporate_contracts","link":"https:\/\/corporate.findlaw.com\/contracts\/compensation\/change-in-control-agreement-willamette-industries-inc.html","title":{"rendered":"Change in Control Agreement &#8211; Willamette Industries Inc."},"content":{"rendered":"<pre>\nWillamette Industries, Inc.\n1300 S.W. Fifth Ave., Ste. 3800\nPortland, Oregon  97201\n\nMarch 16, 2001\n\n\n\n[addressee]\n\n--------------------------\n\n--------------------------\n\nDear _____________:\n\n              This letter amends and supplements the letter agreements dated\nApril 29, 1999 and January 19, 2001, between you and Willamette Industries, Inc.\n(\"Willamette\"), relating to certain benefits following a change in control of\nWillamette (the \"CIC Agreement\"). The changes to Section 3(d)(ii) as previously\nin effect are marked on the enclosed copy of that section.\n\n              1. Section 3(d)(ii) is amended to read in its entirety as follows:\n\n              \"In lieu of any further salary payments to you for the periods\nsubsequent to the Date of Termination, an amount of severance pay equal to the\nApplicable Percentage (as defined below in this paragraph (ii)) multiplied by\nthe sum of (A) your annual base salary, at the rate in effect on the date the\nChange in Control occurs, plus (B) the average of the two most recent annual\nincentive compensation grants (if any) made to you, or accrued to your benefit\n(prior to any deferrals), prior to the date the Change in Control occurs, plus\n(C) the average annual matching contributions made by the Company on your behalf\nto the Company's Stock Purchase Plan and its 1993 Deferred Compensation Plan in\nrespect of the two fiscal years of the Company last ended prior to the fiscal\nyear in which the Change in Control occurs. \"Applicable Percentage\" means 300\npercent reduced (if you are age 62 or older as of the Date of Termination) by\n8.33 percent for each full month that your age exceeds 62 as of the Date of\nTermination.\n\n              For purposes of this Agreement, \"annual incentive compensation\"\nincludes, without limitation, annual grants of stock options, Stock Appreciation\nRights (SARs) and restricted stock under the Company's 1995 Long-Term Incentive\nCompensation Plan, as amended and restated (the \"Incentive Plan\"). The value of\nyour annual incentive compensation represented by restricted stock granted to\nyou under the Incentive Plan during any fiscal year of the Company, will be\nequal to the number of Company Shares granted to you multiplied by the market\nvalue of a Company share on the grant date. The value of your annual incentive\ncompensation represented by stock options or SARs granted to you under the\nIncentive Plan during any fiscal year of the Company will be equal to the number\nof Company Shares subject to your stock option or SAR multiplied by the value of\neach stock option or SAR determined as of the grant date of that option or SAR\nusing the Black Scholes option pricing model and the market value of a Company\nShare on the grant date and using the following assumptions:\n\n\n                                      -1-\n\n\n              (a) The option or SAR will be assumed to be fully exercisable as\nof the grant date;\n\n              (b) The option or SAR will be assumed to have an expected life\nequal to the average period for which options or SARs granted under the Plan\nhave remained outstanding which is 6.4 years;\n\n              (c) The volatility of the Company Shares underlying each option or\nSAR will be determined based on the simple average of four volatility\ncalculations: (1) the daily close stock price for the three-year period\npreceding each stock option or SAR grant date; (2) the daily close stock price\nfor the 52-week preceding each stock option or SAR grant date; (3) the daily\nclose stock price for the most recent peak-to-peak stock cycle, with a duration\ncycle of over 1 year, preceding each stock option or SAR grant date; and (4) the\ndaily close stock price for the most recent trough-to-trough stock cycle, with a\nduration cycle of over 1 year, preceding each stock option or SAR grant date.\nFor any period of time during which the Company's Shares are being solicited in\nthe public arena through a public tender offer or public bidding process, the\nvolatility factor for such period will be the daily average of the S&amp;P forest\nproducts index for the four calculations noted above.\n\n              (d) The risk-free rate will be the yield to maturity on a U.S.\nTreasury note with a term of 6.4 years.\n\n              (e) The dividend is the actual per share cash dividend paid with\nrespect to Company Shares in the most current calendar quarter prior to the\ngrant date, annualized.\n\n                                            Sincerely,\n\n\n\n                                            G. W. Hawley\n                                            Executive Vice Pres., C.F.O.\n\nACCEPTED and agreed to by\n\n---------------------------------------\n\nthis _________ day of __________, 2001.\n\n\n                                      -2-\n\n<\/pre>\n","protected":false},"template":"","meta":{"_acf_changed":false,"_stopmodifiedupdate":true,"_modified_date":"","_cloudinary_featured_overwrite":false},"corporate_contracts_companies":[9336],"corporate_contracts_industries":[9457],"corporate_contracts_types":[9539,9551],"class_list":["post-38594","corporate_contracts","type-corporate_contracts","status-publish","hentry","corporate_contracts_companies-willamette-industries-inc","corporate_contracts_industries-manufacturing__paper","corporate_contracts_types-compensation","corporate_contracts_types-compensation__severance"],"acf":[],"_links":{"self":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts\/38594","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts"}],"about":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/types\/corporate_contracts"}],"wp:attachment":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/media?parent=38594"}],"wp:term":[{"taxonomy":"corporate_contracts_companies","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_companies?post=38594"},{"taxonomy":"corporate_contracts_industries","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_industries?post=38594"},{"taxonomy":"corporate_contracts_types","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_types?post=38594"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}