{"id":40259,"date":"2015-09-17T11:25:58","date_gmt":"2015-09-17T16:25:58","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-legal\/contracts\/uncategorized\/performance-share-unit-agreement-bristol-myers.html"},"modified":"2015-09-17T11:25:58","modified_gmt":"2015-09-17T16:25:58","slug":"performance-share-unit-agreement-bristol-myers","status":"publish","type":"corporate_contracts","link":"https:\/\/corporate.findlaw.com\/contracts\/compensation\/performance-share-unit-agreement-bristol-myers.html","title":{"rendered":"Performance Share Unit Agreement &#8211; Bristol-Myers"},"content":{"rendered":"<p align=\"center\"><strong>PERFORMANCE SHARE UNITS AGREEMENT <\/strong><\/p>\n<p align=\"center\">Under the Bristol-Myers Squibb Company<\/p>\n<p align=\"center\">2007 Stock Award and Incentive Plan<\/p>\n<p align=\"center\"><strong>2011-2013 Performance Share Units Award <\/strong><\/p>\n<p>Bristol-Myers Squibb Company (the &#8220;Company&#8221;) has granted you a Performance<br \/>\nShare Units Award as set forth in the Grant Summary. This award is subject in<br \/>\nall respects to the terms, definitions and provisions of the 2007 Stock Award<br \/>\nand Incentive Plan (the &#8220;Plan&#8221;) adopted by the Company.<\/p>\n<p>Award Date: March 1, 2011<\/p>\n<p>Performance Cycle Start Date: January 1, 2011<\/p>\n<p>Please refer to the Grant Summary for the Target Number of Performance Share<br \/>\nUnits relating to the 2011-2013 performance cycle:<\/p>\n<p>2011 Performance Share Units (11-13 Cycle): 22.22% of total award<\/p>\n<p>2012 Performance Share Units (11-13 Cycle): 22.22% of total award<\/p>\n<p>2013 Performance Share Units (11-13 Cycle): 55.56% of total award<\/p>\n<p>The year referenced for each of these three &#8220;tranches&#8221; is the &#8220;Performance<br \/>\nYear&#8221; for that tranche. The percentages shown above reflect the special nature<br \/>\nof the 2011-2013 Performance Share Units Award. Specifically, the Company<br \/>\nincreased the value of the third tranche by two- and- a- half times (2.5x) as<br \/>\ncompared to last year. Thus, your 2011-2013 total award is one-and-a-half times<br \/>\n(1.5x) more valuable as a result of the enhancement to the third tranche.<\/p>\n<p>Range at which Performance Share Units may be earned for varying performance:\n<\/p>\n<p>Threshold: 32.50% of Target<\/p>\n<p>Target: 100% of Target<\/p>\n<p>Maximum: 167.50% of Target<\/p>\n<p>Performance Goal and Earning Date: A separate Performance Goal will be set<br \/>\nfor each tranche by March 30 of the Performance Year, specifying the number of<br \/>\nPerformance Share Units that may be earned for specified levels of performance.<br \/>\nThe Earning Date will be December 31 of the Performance Year. The Performance<br \/>\nGoal for the 2011 Performance Share Units is attached as Exhibit A hereto.<\/p>\n<p>Vesting: Earned Performance Share Units will vest on January 1, 2014, subject<br \/>\nto earlier vesting at the times indicated in Sections 6 (including in connection<br \/>\nwith certain terminations following a Change in Control) and 8.<\/p>\n<p>Settlement: Earned and vested Performance Share Units will be settled by<br \/>\ndelivery of one share of the Company153s Common Stock, $0.10 par value per share<br \/>\n(&#8220;Shares&#8221;), for each Performance Share Unit being settled. Dividend equivalents<br \/>\nwill accrue and be payable in connection with Performance Share Units at the<br \/>\ntime and to the extent that the underlying Performance Share Unit becomes<br \/>\npayable. Settlement shall occur at the time specified in Section 4 hereof.<\/p>\n<hr>\n<p>1. <u>PERFORMANCE SHARE UNITS AWARD<\/u><\/p>\n<p>The Compensation and Management Development Committee of the Board of<br \/>\nDirectors of Bristol-Myers Squibb Company (the &#8220;Committee&#8221;) has granted to you<br \/>\nthe opportunity to earn the 2011 Performance Share Units as designated herein<br \/>\nsubject to the terms, conditions and restrictions set forth in this Agreement.<br \/>\nIn addition, the Committee hereby indicates its intention to grant to you the<br \/>\nopportunity to earn the 2012 Performance Share Units and the 2013 Performance<br \/>\nShare Units for the 2011-2013 performance cycle and subject to this Agreement;<br \/>\nsuch grants shall become effective only at such time as the Committee has<br \/>\nspecified the Performance Goal for those Performance Share Units (by March 30 of<br \/>\nthe relevant Performance Year), except as otherwise provided in this Section 1<br \/>\nand in Sections 6(a) and 6(b). The target number of each tranche of Performance<br \/>\nShare Units and the kind of shares deliverable in settlement, the calculation of<br \/>\nearnings per share as a Performance Goal, and other terms and conditions of the<br \/>\nPerformance Share Units are subject to adjustment in accordance with Section 11<br \/>\nhereof and Section 11(c) of the Plan. In the event of a Change in Control, you<br \/>\nwill become legally entitled to have the grant of Performance Share Units<br \/>\nspecified hereunder become effective (i) for the Performance Year in effect at<br \/>\nthe date of the Change in Control, at the time of the Change in Control (if the<br \/>\ngrant was not previously effective) if you were employed by the Company or a<br \/>\nsubsidiary or affiliate immediately before the Change in Control, and (ii), for<br \/>\nany Performance Year beginning after the year in which the Change in Control<br \/>\noccurred, at the beginning of such Performance Year if you remain so employed at<br \/>\nthat time. In each case relating to Performance Share Units the grant of which<br \/>\nis effective at or following a Change in Control, the Performance Goal for such<br \/>\nPerformance Share Units shall be reasonably achievable and not more difficult to<br \/>\nachieve in relation to the Company153s budget for that Performance Year than the<br \/>\nPerformance Goal for any earlier Performance Year was in relation to the budget<br \/>\nfor that earlier Performance Year.<\/p>\n<p>2. <u>CONSIDERATION<\/u><\/p>\n<p>As consideration for grant of 2011 Performance Share Units, you shall remain<br \/>\nin the continuous employ of the Company and\/or its Subsidiaries or Affiliates<br \/>\nfor at least one year from the Performance Cycle Start Date or such lesser<br \/>\nperiod as the Committee shall determine in its sole discretion, and no<br \/>\nPerformance Share Units shall be payable until after the completion of such one<br \/>\nyear or lesser period of employment by you (subject to Section 6(c)). No 2012<br \/>\nPerformance Share Units or 2013 Performance Share Units shall be granted<br \/>\nhereunder unless you have met the one-year continuous employment requirement<br \/>\nspecified in this Section 2, measured from the Performance Cycle Start Date.\n<\/p>\n<p>3. <u>PERFORMANCE GOALS <\/u><\/p>\n<p>The Performance Goals for the 2011 Performance Share Units are specified on<br \/>\nthe cover page of this Agreement and Exhibit A hereto, and for the 2012<br \/>\nPerformance Share Units and 2013 Performance Share Units shall be specified in<br \/>\nwriting in such manner as the Committee may determine.<\/p>\n<p>4. <u>DETERMINATION OF PERFORMANCE SHARE UNITS EARNED AND VESTED;<br \/>\nFORFEITURES; SETTLEMENT<\/u><\/p>\n<p>By March 15 of the year following each Performance Year, the Committee shall<br \/>\ndetermine the extent to which Performance Share Units have been earned on the<br \/>\nbasis of the Company153s actual performance in relation to the established<br \/>\nPerformance Goals for the Performance Share Units relating to that Performance<br \/>\nYear, provided, however, that the Committee may exercise its discretion<br \/>\n(reserved under Plan Sections 7(a) and 7(b)(v)) to reduce the amount of<br \/>\nPerformance Share Units deemed earned in its assessment of performance in<br \/>\nrelation to Performance Goals, or in light of other considerations the Committee<br \/>\ndeems relevant. The Committee shall certify these results in writing in<br \/>\naccordance with Plan<\/p>\n<\/p>\n<p align=\"center\">2<\/p>\n<hr>\n<p>Section 7(c), subject to any limitation under Section 7 hereof (if you are<br \/>\nDisabled during the Performance Year in excess of 26 weeks). Any Performance<br \/>\nShare Units that are not, based on the Committee153s determination, earned by<br \/>\nperformance in a Performance Year (or deemed to be earned in connection with a<br \/>\ntermination of employment under Sections 6 and 8 below), including Performance<br \/>\nShare Units that had been potentially earnable by performance in excess of the<br \/>\nactual performance levels achieved, shall be canceled and forfeited.<\/p>\n<p>Performance Share Units are subject to vesting based on your service for<br \/>\nperiods which extend past the applicable Performance Year. The stated vesting<br \/>\ndate is set forth on the cover page hereof. If, before the stated vesting date,<br \/>\nthere occurs an event immediately after which you are not an employee of the<br \/>\nCompany, its subsidiaries or an affiliate of the Company, you will become vested<br \/>\nin Performance Share Units only to the extent provided in Section 6 or 8, and<br \/>\nany Performance Share Units that have not been earned and vested at or before<br \/>\nsuch event and which cannot thereafter be earned and vested under Sections 6 or<br \/>\n8 shall be canceled and forfeited.<\/p>\n<p>In certain termination events as specified below and in connection with a<br \/>\nlong-term Disability (as defined in Section 7), you will be entitled to vesting<br \/>\nof a &#8220;Pro Rata Portion&#8221; of the Performance Share Units earned or deemed earned<br \/>\nhereunder. For purposes of this Agreement, in the case of a termination of<br \/>\nemployment, the Pro Rata Portion is calculated as the proportionate number of<br \/>\nthe total number of Performance Share Units relating to a given Performance<br \/>\nYear; provided, however, that the number of days you were employed shall be<br \/>\nreduced by the number of days during such Performance Year in which you were<br \/>\nDisabled in excess of 26 weeks since the commencement of the Disability. For<br \/>\npurposes of this Agreement, in the case of a Disability extending longer than 26<br \/>\nweeks, the Pro Rata Portion is calculated as the proportionate number of the<br \/>\ntotal number of Performance Share Units relating to a given Performance Year<br \/>\nminus the number of days you were Disabled in excess of 26 weeks since the<br \/>\ncommencement of the Disability.<\/p>\n<p>The number of Performance Share Units earned or vested shall be rounded to<br \/>\nthe nearest whole Performance Share Unit, unless otherwise determined by the<br \/>\nCompany officers responsible for day-to-day administration of the Plan.<\/p>\n<p>Performance Share Units that become vested while you remain employed by the<br \/>\nCompany or a subsidiary or affiliate shall be settled promptly upon vesting by<br \/>\ndelivery of one Share for each Performance Share Unit being settled, unless<br \/>\nvalidly deferred in accordance with deferral terms then authorized by the<br \/>\nCommittee (subject to Plan Section 11(k)). Performance Share Units that become<br \/>\nvested under Sections 6(a), 6(b), 6(c) or 8 shall be settled at the times<br \/>\nspecified therein; provided, however, that settlement of Performance Share Units<br \/>\nunder Section 6(a), (b) or (c) shall be subject to the applicable provisions of<br \/>\nPlan Section 11(k). (<em>Note: Section 11(k) could apply if settlement is<br \/>\ntriggered by a Change in Control or a termination following a Change in<br \/>\nControl<\/em>). Until Shares are delivered to you in settlement of Performance<br \/>\nShare Units, you shall have none of the rights of a stockholder of the Company<br \/>\nwith respect to the Shares issuable in settlement of the Performance Share<br \/>\nUnits, including the right to vote the shares and receive distributions other<br \/>\nthan dividends. (Your rights with respect to dividends are set forth in Section<br \/>\n11, below.) Shares of stock issuable in settlement of Performance Share Units<br \/>\nshall be delivered to you upon settlement in certificated form or in such other<br \/>\nmanner as the Company may reasonably determine.<\/p>\n<p>5. <u>NONTRANSFERABILITY OF PERFORMANCE SHARE UNITS AND DESIGNATION OF<br \/>\nBENEFICIARY<\/u><\/p>\n<p>Performance Share Units shall not be transferable other than by will or by<br \/>\nthe laws of descent and distribution, except that you may designate a<br \/>\nbeneficiary pursuant to the provisions hereof on a Designation of Beneficiary<br \/>\nform.<\/p>\n<\/p>\n<p align=\"center\">3<\/p>\n<hr>\n<p>If you and\/or your beneficiary shall attempt to assign your rights under this<br \/>\nAgreement in violation of the provisions herein, the Company153s obligation to<br \/>\nsettle Performance Share Units or otherwise make payments shall terminate.<\/p>\n<p>If no designated beneficiary is living on the date on which shares are<br \/>\ndeliverable in settlement or other amount becomes payable to you, or if no<br \/>\nbeneficiary has been specified, such settlement or payment will be payable to<br \/>\nthe person or persons in the first of the following classes of successive<br \/>\npreference:<\/p>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>(i)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>Widow or widower, if then living,<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>(ii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>Surviving children, equally,<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>(iii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>Surviving parents, equally,<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>(iv)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>Surviving brothers and sisters, equally,<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>(v)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>Executors or administrators<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>and the term &#8220;beneficiary&#8221; as used in this Agreement shall include such<br \/>\nperson or persons.<\/p>\n<p>6. <u>RETIREMENT AND OTHER TERMINATIONS (EXCLUDING DEATH)<\/u><\/p>\n<p>(a) <em>Retirement. <\/em>In the event of your Retirement (as defined in the<br \/>\nPlan) prior to settlement of Performance Share Units and after you have<br \/>\nsatisfied the one-year employment requirement of Section 2, you will be deemed<br \/>\nvested (i) in any Performance Share Units that relate to a Performance Year<br \/>\ncompleted before your Retirement and which have been determined or thereafter<br \/>\nare determined by the Committee to have been earned under Section 4, and (ii),<br \/>\nwith respect to Performance Share Units relating to a Performance Year in<br \/>\nprogress at the date of your Retirement, in a Pro Rata Portion of the<br \/>\nPerformance Share Units you would have actually earned for that Performance Year<br \/>\nif you had continued to be employed through the date the Committee determines<br \/>\nthe earning of the Performance Share Units for that Performance Year under<br \/>\nSection 4 (for this purpose, if the grant of Performance Share Units relating to<br \/>\nthe Performance Year in progress at the date of your Retirement has not yet<br \/>\nbecome effective, such grant shall be deemed to be effective immediately before<br \/>\nthe Retirement and shall have the same terms as applicable to participating<br \/>\nemployees who remain employed). Any Performance Share Units earned and vested<br \/>\nunder this Section 6(a) shall be settled at the earlier of (i) the date such<br \/>\nPerformance Share Units would have vested if you had continued to be employed by<br \/>\nthe Company or a subsidiary or affiliate, (ii), in the event of a Change in<br \/>\nControl, as to previously earned Performance Share Units promptly upon the<br \/>\nChange in Control and, in the case of any unearned Performance Share Units<br \/>\n(subject to Section 1), promptly following the date at which the Committee<br \/>\ndetermines the extent to which such Performance Share Units have been earned (in<br \/>\neach case subject to Section 6(e) below and Section 11(k) of the Plan), or<br \/>\n(iii), in the event of your death, in the year following the Performance Year in<br \/>\nwhich your Retirement occurred (following the Committee153s determination of the<br \/>\nextent to which any remaining unearned Performance Share Units have been earned)<br \/>\nor, if your death occurred after that year, as promptly as practicable following<br \/>\nyour death. Following your Retirement, any Performance Share Units that have not<br \/>\nbeen earned and vested and which thereafter will not be deemed earned and vested<br \/>\nunder this Section 6(a) will be canceled and forfeited.<\/p>\n<p>(b) <em>Termination by the Company Not For Cause. <\/em>In the event of your<br \/>\nTermination Not for Cause (as defined in Section 6(f)) by the Company and not<br \/>\nduring the Protected Period (as defined in Section 6(f)), prior to settlement of<br \/>\nPerformance Share Units and after you have satisfied the one-year employment<br \/>\nrequirement of Section 2, you will be deemed vested (i) in any Performance Share<br \/>\nUnits that relate to a Performance Year completed before such termination and<br \/>\nwhich have been determined or thereafter are determined by the Committee to have<br \/>\nbeen earned under Section 4, and (ii), with respect to Performance Share Units<br \/>\nrelating to a Performance Year in progress at the date of such termination, in a<br \/>\nPro Rata Portion of the Performance Share Units you would have actually earned<br \/>\nfor that Performance Year if you had continued to be employed through the date<br \/>\nthe Committee determines the earning of the<\/p>\n<\/p>\n<p align=\"center\">4<\/p>\n<hr>\n<p>Performance Share Units for that Performance Year under Section 4 (for this<br \/>\npurpose, if the grant of Performance Share Units relating to the Performance<br \/>\nYear in progress at the date of your Termination Not for Cause has not yet<br \/>\nbecome effective, such grant shall be deemed to be effective immediately before<br \/>\nyour termination and shall have the same terms as applicable to participating<br \/>\nemployees who remain employed). If you are employed in the United States<br \/>\n(including in Puerto Rico), and you are not eligible for Retirement, you shall<br \/>\nbe entitled to the pro rata vesting described in the preceding sentence only if<br \/>\nyou execute and do not revoke a release in favor of the Company and its<br \/>\npredecessors, successors, affiliates, subsidiaries, directors and employees in a<br \/>\nform satisfactory to the Company and, where deemed applicable by the Company, a<br \/>\nnon-compete and\/or a non-solicitation agreement; if you fail to execute or<br \/>\nrevoke the release or fail to execute the non-compete or non-solicitation<br \/>\nagreement, you shall forfeit any Performance Share Units that are unvested as of<br \/>\nthe date your employment terminates. Any Performance Share Units earned and<br \/>\nvested under this Section 6(b) shall be settled at the earlier of (i) the date<br \/>\nsuch Performance Share Units would have vested if you had continued to be<br \/>\nemployed by the Company or a subsidiary or affiliate or within the period<br \/>\nextending to April 1 of that vesting year, (ii), in the event of a Change in<br \/>\nControl meeting the conditions of Section 6(e)(ii), as to previously earned<br \/>\nPerformance Share Units promptly upon such Change in Control and, in the case of<br \/>\nany unearned Performance Share Units (subject to Section 1), promptly following<br \/>\nthe date at which the Committee determines the extent to which such Performance<br \/>\nShare Units have been earned (in each case subject to Section 6(e) below and<br \/>\nSection 11(k) of the Plan), or (iii), in the event of your death, in the year<br \/>\nfollowing the Performance Year in which your Termination Not for Cause occurred<br \/>\n(following the Committee153s determination of the extent to which any remaining<br \/>\nunearned Performance Share Units have been earned) or, if your death occurred<br \/>\nafter that year, as promptly as practicable following your death. Following such<br \/>\nTermination Not for Cause, any Performance Share Units that have not been earned<br \/>\nand vested and which thereafter will not be deemed earned and vested under this<br \/>\nSection 6(b) will be canceled and forfeited.<\/p>\n<p>(c) <em>Qualifying Termination Following a Change in Control.<\/em> In the<br \/>\nevent that you have a Qualifying Termination as defined in Plan Section 9(c)<br \/>\nduring the Protected Period (as defined in Section 6(f) below) following a<br \/>\nChange in Control (as defined in the Plan), you will be deemed vested (i) in any<br \/>\nPerformance Share Units that relate to a Performance Year completed before such<br \/>\ntermination and which have been determined or thereafter are determined by the<br \/>\nCommittee to have been earned under Section 4, and (ii), with respect to<br \/>\nPerformance Share Units relating to a Performance Year in progress at the date<br \/>\nof your Qualifying Termination (subject to Section 1, but including Performance<br \/>\nShare Units otherwise not meeting the one-year requirement of Section 2), in a<br \/>\nPro Rata Portion of the target number of Performance Share Units that could have<br \/>\nbeen earned in the Performance Year. All of your earned and vested Performance<br \/>\nShare Units shall be settled promptly (subject to Section 6(e) below and Section<br \/>\n11(k) of the Plan); provided, however, any additional forfeiture conditions in<br \/>\nthe nature of a &#8220;clawback&#8221; contained in Section 10 of this Agreement shall<br \/>\ncontinue to apply to any payment. Upon your Qualifying Termination, any<br \/>\nPerformance Share Units that have not been deemed earned and vested under this<br \/>\nSection 6(c) will be canceled and forfeited.<\/p>\n<p>(d) <em>Other Terminations. <\/em>If you cease to be an employee of the<br \/>\nCompany and its subsidiaries and affiliates for any reason other than<br \/>\nRetirement, Termination Not for Cause, a Qualifying Termination within the<br \/>\nProtected Period following a Change in Control, or death, Performance Share<br \/>\nUnits granted herein that have not become both earned and vested shall be<br \/>\ncanceled and forfeited and you shall have no right to settlement of any portion<br \/>\nof the Performance Share Units.<\/p>\n<p>(e) <em>Special Distribution Rules to Comply with Code Section 409A<\/em>. The<br \/>\nPerformance Share Units constitute a &#8220;deferral of compensation&#8221; under Section<br \/>\n409A of the Internal Revenue Code (the &#8220;Code&#8221;), based on Internal Revenue<br \/>\nService regulations and guidance in effect at the date of grant. As a result,<br \/>\nthe timing of settlement of your Performance Share Units will be subject to<br \/>\napplicable limitations under Code Section 409A. Specifically, each tranche of<br \/>\nPerformance Share Units will be subject to Section 11(k) of the Plan, including<br \/>\nthe following restrictions on settlement:<\/p>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>(i)<\/p>\n<\/td>\n<td valign=\"top\">\n<p align=\"left\">Settlement of the Performance Share Units under Section 6(c)<br \/>\nupon a Qualifying Termination will be subject to the requirement that the<br \/>\ntermination constitute a<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p align=\"center\">5<\/p>\n<hr>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td valign=\"top\">\n<p>&#8220;separation from service&#8221; under Treas. Reg.  \u00a7 1.409A-1(h), and subject to the<br \/>\nsix-month delay rule under Plan Section 11(k)(i)(E) if at the time of separation<br \/>\nfrom service you are a &#8220;Specified Employee.&#8221;<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>(ii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>Settlement of the Performance Share Units under Section 6(a) or 6(b) in the<br \/>\nevent of a Change in Control will occur only if an event relating to the Change<br \/>\nin Control constitutes a change in ownership or effective control of the Company<br \/>\nor a change in the ownership of a substantial portion of the assets of the<br \/>\nCompany within the meaning of Treas. Reg.  \u00a7 1.409A-3(i)(5).<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>(f) <em>Definition of &#8220;Protected Period&#8221; and &#8220;Termination Not for Cause.&#8221;<br \/>\n<\/em>For purposes of this Section 6, the &#8220;Protected Period&#8221; means a specific<br \/>\nperiod of time following a Change in Control, such period to be the same as the<br \/>\napplicable &#8220;protected period&#8221; specified by the Committee in your<br \/>\nChange-in-Control Agreement or Change-in-Control Plan, as applicable, or such<br \/>\nother specific period (not less than one year) specified by the Committee at the<br \/>\ntime of grant of this Award in the resolutions authorizing the grant of this<br \/>\nAward. For purposes of this Section 6, a &#8220;Termination Not for Cause&#8221; means a<br \/>\nCompany-initiated termination for reason other than willful misconduct, activity<br \/>\ndeemed detrimental to the interests of the Company, or disability, provided that<br \/>\nyou execute a general release and, where required by the Company, a<br \/>\nnon-solicitation and\/or non-compete agreement with the Company.<\/p>\n<p>7. <u>DISABILITY OF PARTICIPANT<\/u><\/p>\n<p>For purposes of this Agreement, &#8220;Disability&#8221; or &#8220;Disabled&#8221; shall mean<br \/>\nqualifying for and receiving payments under a disability plan of the Company or<br \/>\nany subsidiary or affiliate either in the United States or in a jurisdiction<br \/>\noutside of the United States, and in jurisdictions outside of the United States<br \/>\nshall also include qualifying for and receiving payments under a mandatory or<br \/>\nuniversal disability plan or program managed or maintained by the government. If<br \/>\nyou become Disabled, you will not be deemed to have terminated employment for<br \/>\nthe period during which, under the applicable Disability pay plan of the Company<br \/>\nor a subsidiary or affiliate, you are deemed to be employed and continue to<br \/>\nreceive Disability payments. Upon the cessation of payments under such<br \/>\nDisability pay plan, (i) if you return to employment status with the Company or<br \/>\na subsidiary or affiliate, you will not be deemed to have terminated employment,<br \/>\nand (ii), if you do not return to such employment status, you will be deemed to<br \/>\nhave terminated employment at the date of cessation of such Disability payments,<br \/>\nwith such termination treated for purposes of the Performance Share Units as a<br \/>\nRetirement, death, or voluntary termination based on your circumstances at the<br \/>\ntime of such termination. If you have been Disabled for a period in excess of 26<br \/>\nweeks in the aggregate during one or more Performance Years, for each affected<br \/>\nPerformance Year you will earn only a Pro Rata Portion of the Performance Share<br \/>\nUnits you otherwise would have earned in respect of such a Performance Year.\n<\/p>\n<p>8. <u>DEATH OF PARTICIPANT<\/u><\/p>\n<p>In the event of your death while employed by the Company or a subsidiary and<br \/>\nprior to settlement of Performance Share Units but after you have satisfied the<br \/>\none-year employment requirement of Section 2, you will be deemed vested (i) in<br \/>\nany Performance Share Units that relate to a Performance Year completed before<br \/>\nyour death and which have been determined or thereafter are determined by the<br \/>\nCommittee to have been earned under Section 4, and (ii), with respect to<br \/>\nPerformance Share Units relating to a Performance Year in progress at the date<br \/>\nof your death, in a Pro Rata Portion of the Performance Share Units you would<br \/>\nhave actually earned for that Performance Year if you had continued to be<br \/>\nemployed through the date the Committee determines the earning of the<br \/>\nPerformance Share Units for that Performance Year under Section 4. In this case,<br \/>\nyour beneficiary shall be entitled to settlement of any of your earned and<br \/>\nvested Performance Share Units referred to in clause (i) by the later of the end<br \/>\nof the calendar year in which your death occurred or 60 days after your death,<br \/>\nand to your earned and vested<\/p>\n<\/p>\n<p align=\"center\">6<\/p>\n<hr>\n<p>Performance Share Units referred to in clause (ii) in the year following your<br \/>\nyear of death as promptly as practicable following the determination of the<br \/>\nnumber of Performance Share Units earned under clause (ii) above. In the case of<br \/>\nyour death, any Performance Share Units that have not been earned and vested and<br \/>\nthereafter will not be deemed earned and vested under this Section 8 will be<br \/>\ncanceled and forfeited.<\/p>\n<p>9. <u>TAXES<\/u><\/p>\n<p>At such time as the Company or any subsidiary or affiliate is required to<br \/>\nwithhold taxes with respect to the Performance Share Units, or at an earlier<br \/>\ndate as determined by the Company, you shall make remittance to the Company or<br \/>\nto your employer of an amount sufficient to cover such taxes or make such other<br \/>\narrangement regarding payments of such taxes as are satisfactory to the<br \/>\nCommittee. The Company and its Subsidiaries and affiliates shall, to the extent<br \/>\npermitted by law, have the right to deduct such amount from any payment of any<br \/>\nkind otherwise due to you, including by means of mandatory withholding of shares<br \/>\ndeliverable in settlement of your Performance Share Units, to satisfy the<br \/>\nmandatory tax withholding requirements.<\/p>\n<p>10. <u>FORFEITURE IN THE EVENT OF COMPETITION AND\/OR SOLICITATION OR OTHER<br \/>\nACTS<\/u><\/p>\n<p>You acknowledge that your continued employment with the Company and its<br \/>\nsubsidiaries and affiliates and this grant of Performance Share Units are<br \/>\nsufficient consideration for this Agreement, including, without limitation, the<br \/>\nrestrictions imposed upon you by Section 10.<\/p>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>a)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>By accepting the Performance Share Units granted hereby, you expressly agree<br \/>\nand covenant that during the Restricted Period (as defined below), you shall<br \/>\nnot, without the prior consent of the Company, directly or indirectly:<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>i)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>own or have any financial interest in a Competitive Business (as defined<br \/>\nbelow), except that nothing in this clause shall prevent you from owning one<br \/>\npercent or less of the outstanding securities of any entity whose securities are<br \/>\ntraded on a U.S. national securities exchange (including NASDAQ) or an<br \/>\nequivalent foreign exchange;<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>ii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>be actively connected with a Competitive Business by managing, operating,<br \/>\ncontrolling, being an employee or consultant (or accepting an offer to be an<br \/>\nemployee or consultant) or otherwise advising or assisting a Competitive<br \/>\nBusiness in such a way that such connection might result in an increase in value<br \/>\nor worth of any product, technology or service, that competes with any product,<br \/>\ntechnology or service upon which you worked or about which you became familiar<br \/>\nas a result of your employment with the Company. You may, however, be actively<br \/>\nconnected with a Competitive Business after your employment with the Company<br \/>\nterminates for any reason, so long as your connection to the business does not<br \/>\ninvolve any product, technology or service, that competes with any product,<br \/>\ntechnology or service upon which you worked or about which you became familiar<br \/>\nas a result of your employment with the Company and the Company is provided<br \/>\nwritten assurances of this fact from the Competing Company prior to your<br \/>\nbeginning such connection;<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>iii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>take any action that might divert any opportunity from the Company or any of<br \/>\nits affiliates, successors or assigns (the &#8220;Related Parties&#8221;) that is within the<br \/>\nscope of the present or future operations or business of any Related Parties;\n<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>iv)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>employ, solicit for employment, advise or recommend to any other person that<br \/>\nthey employ or solicit for employment or form an association with any person who<br \/>\nis employed by the Company or who has been employed by the Company within one<br \/>\nyear of the date your employment with the Company ceased for any reason<br \/>\nwhatsoever;<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p align=\"center\">7<\/p>\n<hr>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>v)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>contact, call upon or solicit any customer of the Company, or attempt to<br \/>\ndivert or take away from the Company the business of any of its customers;<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>vi)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>contact, call upon or solicit any prospective customer of the Company that<br \/>\nyou became aware of or were introduced to in the course of your duties for the<br \/>\nCompany, or otherwise divert or take away from the Company the business of any<br \/>\nprospective customer of the Company; or<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>vii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>engage in any activity that is harmful to the interests of the Company,<br \/>\nincluding, without limitation, any conduct during the term of your employment<br \/>\nthat violates the Company153s Standards of Business Conduct and Ethics, securities<br \/>\ntrading policy and other policies.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>b)<\/p>\n<\/td>\n<td valign=\"top\"><u>Forfeiture<\/u><\/p>\n<p>. You agree and covenant that, if the Company determines that you have<br \/>\nviolated any provisions of Section 10(a) above during the Restricted Period,<br \/>\nthen:<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>i)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>any portion of the Performance Share Units that have not been settled or paid<br \/>\nto you as of the date of such determination shall be immediately canceled and<br \/>\nforfeited;<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>ii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>you shall automatically forfeit any rights you may have with respect to the<br \/>\nPerformance Share Units as of the date of such determination;<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>iii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>if any Performance Share Units have become vested within the twelve-month<br \/>\nperiod immediately preceding a violation of Section 10(a) above (or following<br \/>\nthe date of any such violation), upon the Company153s demand, you shall<br \/>\nimmediately deliver to it a certificate or certificates for Shares equal to the<br \/>\nnumber of Shares delivered to you in settlement of such vested Performance Share<br \/>\nUnits if such delivery was made in Shares or you shall pay cash equal to the<br \/>\nvalue of cash paid to you in settlement of such vested Performance Share Units<br \/>\nif such payment was made in cash; and<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>iv)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>The foregoing remedies set forth in Section 10(b) shall not be the Company153s<br \/>\nexclusive remedies. The Company reserves all other rights and remedies available<br \/>\nto it at law or in equity.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>c)<\/p>\n<\/td>\n<td valign=\"top\"><u>Company Policy<\/u><\/p>\n<p>. You agree that the Company may recover any incentive-based compensation<br \/>\nreceived by you under this Agreement if such recovery is pursuant to a clawback<br \/>\npolicy approved by the Committee.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>d)<\/p>\n<\/td>\n<td valign=\"top\"><u>Definitions<\/u><\/p>\n<p>. For purposes of this Section 10, the following definitions shall apply:\n<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>i)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>The Company directly advertises and solicits business from customers wherever<br \/>\nthey may be found and its business is thus worldwide in scope. Therefore,<br \/>\n&#8220;<u>Competitive Business<\/u>&#8221; means any person or entity that engages in any<br \/>\nbusiness activity that competes with the Company153s business in any way, in any<br \/>\ngeographic area in which the Company engages in business, including, without<br \/>\nlimitation, any state in the United States in which the Company sells or offers<br \/>\nto sell its products from time to time.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>ii)<\/p>\n<\/td>\n<td valign=\"top\">\n<p>&#8220;<u>Restricted Period<\/u>&#8221; means the period during which you are employed by<br \/>\nthe Company or its subsidiaries and affiliates and twelve months following the<br \/>\ndate that you no longer are employed by the Company or any of its subsidiaries<br \/>\nor affiliates for any reason whatsoever.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>e)<\/p>\n<\/td>\n<td valign=\"top\">\n<p align=\"left\"><u>Severability<\/u>. You acknowledge and agree that the period,<br \/>\nscope and geographic areas of restriction imposed upon you by the provisions of<br \/>\nSection 10 are fair and reasonable and are reasonably required for the<br \/>\nprotection of the Company. In the event that any part of this Agreement,<br \/>\nincluding, without limitation, Section 10, is held to be unenforceable or<br \/>\ninvalid, the remaining parts of this Agreement and Section 10 shall nevertheless<br \/>\ncontinue to be valid and enforceable as though the invalid portions were not a<br \/>\npart of this Agreement. If any one of the<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p align=\"center\">8<\/p>\n<hr>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td valign=\"top\">\n<p>provisions in Section 10 is held to be excessively broad as to period, scope<br \/>\nand geographic areas, any such provision shall be construed by limiting it to<br \/>\nthe extent necessary to be enforceable under applicable law.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>f)<\/p>\n<\/td>\n<td valign=\"top\"><u>Additional Remedies.<\/u><\/p>\n<p>You acknowledge that breach by you of this Agreement would cause irreparable<br \/>\nharm to the Company and that in the event of such breach, the Company shall<br \/>\nhave, in addition to monetary damages and other remedies at law, the right to an<br \/>\ninjunction, specific performance and other equitable relief to prevent<br \/>\nviolations of your obligations hereunder.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>11. <u>DIVIDEND EQUIVALENTS AND OTHER ADJUSTMENTS<\/u><\/p>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>a)<\/p>\n<\/td>\n<td valign=\"top\"><u>Crediting of Dividend Equivalents<\/u><\/p>\n<p>. Subject to this Section 11, dividend equivalents shall be credited on your<br \/>\nPerformance Share Units (other than Performance Share Units that, at the<br \/>\nrelevant record date, previously have been settled or forfeited) as follows,<br \/>\nexcept that the Committee may specify an alternative treatment from that<br \/>\nspecified in (i), (ii), or (iii) below for any dividend or distribution:<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>i)<\/p>\n<\/td>\n<td valign=\"top\"><em>Cash Dividends<\/em><\/p>\n<p>. If the Company declares and pays a dividend or distribution on Common Stock<br \/>\nin the form of cash, then you shall be entitled to a payment amount equal to (A)<br \/>\nthe amount of such dividend on each outstanding share of Common Stock,<br \/>\nmultiplied by (B) the number of Performance Share Units credited to you as of<br \/>\nthe record date for such dividend or distribution (other than previously settled<br \/>\nor forfeited Performance Share Units). At the time the underlying PSU becomes<br \/>\npayable, the Company has the discretion to pay any accrued dividend equivalents<br \/>\neither in cash or in shares of Common Stock.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>ii)<\/p>\n<\/td>\n<td valign=\"top\"><em>Non-Share Dividends<\/em><\/p>\n<p>. If the Company declares and pays a dividend or distribution on Common Stock<br \/>\nin the form of property other than shares, then a number of additional<br \/>\nPerformance Share Units shall be credited to you as of the payment date for such<br \/>\ndividend or distribution equal to (A) the number of Performance Share Units<br \/>\ncredited to you as of the record date for such dividend or distribution (other<br \/>\nthan previously settled or forfeited Performance Share Units), multiplied by (B)<br \/>\nthe Fair Market Value of such property actually paid as a dividend or<br \/>\ndistribution on each outstanding share of Common Stock at such payment date,<br \/>\ndivided by (C) the Fair Market Value of a share at such payment date.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"8%\"><\/td>\n<td width=\"5%\" valign=\"top\">\n<p>iii)<\/p>\n<\/td>\n<td valign=\"top\"><em>Common Stock Dividends and Splits<\/em><\/p>\n<p>. If the Company declares and pays a dividend or distribution on Common Stock<br \/>\nin the form of additional shares, or there occurs a forward split of Common<br \/>\nStock, then a number of additional Performance Share Units shall be credited to<br \/>\nyou as of the payment date for such dividend or distribution or forward split<br \/>\nequal to (A) the number of Performance Share Units credited to you as of the<br \/>\nrecord date for such dividend or distribution or split (other than previously<br \/>\nsettled or forfeited Performance Share Units), multiplied by (B) the number of<br \/>\nadditional shares actually paid as a dividend or distribution or issued in such<br \/>\nsplit in respect of each outstanding share of Common Stock.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>b)<\/p>\n<\/td>\n<td valign=\"top\"><u>Adjustment of Dividend Equivalents<\/u><\/p>\n<p>. If any Performance Share Unit is forfeited for any reason, including as a<br \/>\nresult of the failure to attain the Performance Goals at least at Threshold, any<br \/>\ndividend or distribution attributable to such Performance Share Unit, whether in<br \/>\nthe form of cash or additional Performance Share Units, shall be forfeited on<br \/>\nthe date on which the underlying Performance Share Unit is forfeited. If any<br \/>\nPerformance Share Units are paid at greater or smaller than 100% of Target, the<br \/>\namount of dividend equivalents (if any) credited on such Performance Share<br \/>\nUnits, whether in the form of cash or additional Performance Share Units, shall<br \/>\nbe increased or decreased proportionately to reflect the payout percentage on<br \/>\nthe underlying Performance Share Units.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p align=\"center\">9<\/p>\n<hr>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>c)<\/p>\n<\/td>\n<td valign=\"top\"><u>Payment of Dividend Equivalents<\/u><\/p>\n<p>. Any cash or Performance Share Units payable under this Section 11 shall be<br \/>\npaid or settled on the settlement date for the underlying Performance Share<br \/>\nUnit.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"border-collapse: collapse;\" width=\"100%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"4%\"><\/td>\n<td width=\"4%\" valign=\"top\">\n<p>d)<\/p>\n<\/td>\n<td valign=\"top\"><u>Other Adjustments<\/u><\/p>\n<p>. The target number of Performance Share Units, the kind of securities<br \/>\ndeliverable in settlement of Performance Share Units, and any performance<br \/>\nmeasure based on per share results shall be appropriately adjusted in order to<br \/>\nprevent dilution or enlargement of your rights with respect to the Performance<br \/>\nShare Units upon the occurrence of an event referred to in Section 11(c) of the<br \/>\nPlan. In furtherance of the foregoing, in the event of an equity restructuring,<br \/>\nas defined in FAS 123R, which affects the Shares, you shall have a legal right<br \/>\nto an adjustment to your Performance Share Units which shall preserve without<br \/>\nenlarging the value of the Performance Share Units, with the manner of such<br \/>\nadjustment to be determined by the Committee in its discretion. Any Performance<br \/>\nShare Units or related rights which directly or indirectly result from an<br \/>\nadjustment to a Performance Share Unit hereunder shall be subject to the same<br \/>\nrisk of forfeiture and other conditions as apply to the granted Performance<br \/>\nShare Unit and will be settled at the same time as the granted Performance Share<br \/>\nUnit.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>12. <u>EFFECT ON OTHER BENEFITS<\/u><\/p>\n<p>In no event shall the value, at any time, of the Performance Share Units or<br \/>\nany other payment or right to payment under this Agreement be included as<br \/>\ncompensation or earnings for purposes of any other compensation, retirement, or<br \/>\nbenefit plan offered to employees of the Company or its subsidiaries or<br \/>\naffiliates unless otherwise specifically provided for in such plan.<\/p>\n<p>13. <u>RIGHT TO CONTINUED EMPLOYMENT<\/u><\/p>\n<p>Nothing in the Plan or this Agreement shall confer on you any right to<br \/>\ncontinue in the employ of the Company or any subsidiary or affiliate or any<br \/>\nspecific position or level of employment with the Company or any subsidiary or<br \/>\naffiliate or affect in any way the right of the Company or any subsidiary or<br \/>\naffiliate to terminate your employment without prior notice at any time for any<br \/>\nreason or no reason.<\/p>\n<p>14. <u>ADMINISTRATION<\/u><\/p>\n<p>The Committee shall have full authority and discretion, subject only to the<br \/>\nexpress terms of the Plan, to decide all matters relating to the administration<br \/>\nand interpretation of the Plan and this Agreement, and all such Committee<br \/>\ndeterminations shall be final, conclusive, and binding upon the Company, any<br \/>\nsubsidiary or affiliate, you, and all interested parties. Any provision for<br \/>\ndistribution in settlement of your Performance Share Units and other obligations<br \/>\nhereunder shall be by means of bookkeeping entries on the books of the Company<br \/>\nand shall not create in you or any beneficiary any right to, or claim against<br \/>\nany, specific assets of the Company, nor result in the creation of any trust or<br \/>\nescrow account for you or any beneficiary. You and any of your beneficiaries<br \/>\nentitled to any settlement or other payment hereunder shall be a general<br \/>\ncreditor of the Company.<\/p>\n<p>15. <u>DEEMED ACCEPTANCE<\/u>. You are required to accept the terms and<br \/>\nconditions set forth in this Agreement prior to the end of the first Performance<br \/>\nYear in order for you to receive the Award granted to you hereunder. If you wish<br \/>\nto decline this Award, you must reject this Agreement prior to the end of the<br \/>\nfirst Performance Year. For your benefit, if you have not rejected the Agreement<br \/>\nprior to the end of the first Performance Year, you will be deemed to have<br \/>\nautomatically accepted this Award and all the terms and conditions set forth in<br \/>\nthis Agreement. Deemed acceptance will allow the shares to be released to you in<br \/>\na timely manner.<\/p>\n<\/p>\n<p align=\"center\">10<\/p>\n<hr>\n<p>16. <u>AMENDMENT<\/u><\/p>\n<p>This Agreement shall be subject to the terms of the Plan, as amended from<br \/>\ntime to time, except that Performance Share Units which are the subject of this<br \/>\nAgreement may not be materially adversely affected by any amendment or<br \/>\ntermination of the Plan approved after the Award Date without your written<br \/>\nconsent.<\/p>\n<p>17. <u>SEVERABILITY AND VALIDITY<\/u><\/p>\n<p>The various provisions of this Agreement are severable and any determination<br \/>\nof invalidity or unenforceability of any one provision shall have no effect on<br \/>\nthe remaining provisions.<\/p>\n<p>18. <u>GOVERNING LAW<\/u><\/p>\n<p>This Agreement shall be governed by the substantive laws (but not the choice<br \/>\nof law rules) of the State of New York.<\/p>\n<p>19. <u>SUCCESSORS<\/u><\/p>\n<p>This Agreement shall be binding upon and inure to the benefit of the<br \/>\nsuccessors, assigns, and heirs of the respective parties.<\/p>\n<p>20. <u>DATA PRIVACY<\/u><\/p>\n<p>By entering into this agreement, you (i) authorize the Company, and any agent<br \/>\nof the Company administering the Plan or providing Plan recordkeeping services,<br \/>\nto disclose to the Company or any of its subsidiaries such information and data<br \/>\nas the Company or any such subsidiary shall request in order to facilitate the<br \/>\ngrant of Performance Share Units and the administration of the Plan; (ii) waive<br \/>\nany data privacy rights you may have with respect to such information; and (iii)<br \/>\nauthorize the Company to store and transmit such information in electronic form.\n<\/p>\n<p>21. <u>ENTIRE AGREEMENT AND NO ORAL MODIFICATION OR WAIVER<\/u><\/p>\n<p>This Agreement contains the entire understanding of the parties. This<br \/>\nAgreement shall not be modified or amended except in writing duly signed by the<br \/>\nparties except that the Company may adopt a modification or amendment to the<br \/>\nAgreement that is not materially adverse to you in writing signed only by the<br \/>\nCompany. Any waiver of any right or failure to perform under this Agreement<br \/>\nshall be in writing signed by the party granting the waiver and shall not be<br \/>\ndeemed a waiver of any subsequent failure to perform.<\/p>\n<table width=\"40%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"10%\"><\/td>\n<td width=\"1%\" valign=\"bottom\"><\/td>\n<td width=\"89%\"><\/td>\n<\/tr>\n<tr>\n<td colspan=\"3\"><\/td>\n<\/tr>\n<tr>\n<td colspan=\"3\" valign=\"top\"><u>For the Company<\/u><\/td>\n<\/tr>\n<tr>\n<td colspan=\"3\"><\/td>\n<\/tr>\n<tr>\n<td colspan=\"3\" valign=\"top\">\n<p>Bristol-Myers Squibb Company<\/p>\n<\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td colspan=\"2\"><\/td>\n<\/tr>\n<tr>\n<td valign=\"top\">\n<p>By:<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"top\"><\/td>\n<\/tr>\n<tr>\n<td valign=\"top\">\n<p>Date:<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>I have read this Agreement in its entirety. I understand that this Award has<br \/>\nbeen granted to provide a means for me to acquire and\/or expand an ownership<br \/>\nposition in Bristol-Myers Squibb Company. I acknowledge and agree that sales of<br \/>\nshares will be subject to the Company&#8217;s policies regulating trading by<\/p>\n<\/p>\n<p align=\"center\">11<\/p>\n<hr>\n<p>employees. In accepting this Award, I hereby agree that Morgan Stanley Smith<br \/>\nBarney, or such other vendor as the Company may choose to administer the Plan,<br \/>\nmay provide the Company with any and all account information for the<br \/>\nadministration of this Award.<\/p>\n<p>I hereby agree to all the terms, restrictions and conditions set forth in the<br \/>\nAgreement.<\/p>\n<\/p>\n<p align=\"center\">12<\/p>\n<hr>\n<p align=\"right\">Exhibit A<\/p>\n<p align=\"center\"><strong>PERFORMANCE SHARE UNITS AGREEMENT <\/strong><\/p>\n<p align=\"center\">Under the Bristol-Myers Squibb Company<\/p>\n<p align=\"center\">2007 Stock Award and Incentive Plan<\/p>\n<p align=\"center\"><strong>2011-2013 Performance Share Units Award <\/strong><\/p>\n<p align=\"center\"><strong>2011 Performance Goals <\/strong><\/p>\n<p>The number of 2011 Performance Share Units earned by Participant shall be<br \/>\ndetermined as of December 31, 2011 (the &#8220;Earning Date&#8221;), based on the Company153s<br \/>\n2011 Net Sales Performance (net of foreign exchange), 2011 Non-GAAP Diluted EPS<br \/>\nPerformance, and 2011 Working Capital plus Capital Expenditures as a Percent of<br \/>\nNet Sales Performance (net of foreign exchange), each as defined below,<br \/>\ndetermined based on the following grid:<\/p>\n<table align=\"center\" width=\"84%\" cellpadding=\"0\" border=\"0\" cellspacing=\"0\">\n<tbody>\n<tr>\n<td width=\"76%\"><\/td>\n<td width=\"8%\" valign=\"bottom\"><\/td>\n<td><\/td>\n<td><\/td>\n<td><\/td>\n<td width=\"8%\" valign=\"bottom\"><\/td>\n<td><\/td>\n<td><\/td>\n<td><\/td>\n<td width=\"8%\" valign=\"bottom\"><\/td>\n<td><\/td>\n<td><\/td>\n<td><\/td>\n<\/tr>\n<tr>\n<td valign=\"bottom\">\n<p>Performance Measure<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td colspan=\"2\" valign=\"bottom\">\n<p>Threshold<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td colspan=\"2\" valign=\"bottom\">\n<p>Target<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td colspan=\"2\" valign=\"bottom\">\n<p>Maximum<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<\/tr>\n<tr>\n<td valign=\"top\">\n<p>2011 Net Sales, net of fx ($=MM)<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<\/tr>\n<tr>\n<td valign=\"top\">\n<p>2011 Non-GAAP Diluted EPS<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<\/tr>\n<tr>\n<td valign=\"top\">\n<p>2011 Working Capital plus CAPEX as a Percent of Net Sales<\/p>\n<\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<td valign=\"bottom\"><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Participant shall earn 32.50% of the target number of 2011 Performance Share<br \/>\nUnits for &#8220;Threshold Performance,&#8221; 100% of the target number of 2011 Performance<br \/>\nShare Units for &#8220;Target Performance,&#8221; and 167.50% of the target number of 2011<br \/>\nPerformance Share Units for &#8220;Maximum Performance.&#8221; For this purpose, 2011 Net<br \/>\nSales Performance and 2011 Working Capital plus Capital Expenditures as a<br \/>\nPercent of Net Sales Performance are weighted 25% each, and 2011 Non-GAAP<br \/>\nDiluted EPS Performance is weighted 50%, so level of earning of 2011 Performance<br \/>\nShare Units shall be determined on a weighted-average basis.<\/p>\n<p>Determinations of the Committee regarding 2011 Net Sales Performance, 2011<br \/>\nNon-GAAP Diluted EPS Performance, and 2011 Working Capital plus Capital<br \/>\nExpenditures as a Percent of Net Sales Performance, and the resulting 2011<br \/>\nPerformance Share Units earned, and related matters, will be final and binding<br \/>\non Participant. In making its determinations, the Committee may exercise its<br \/>\ndiscretion (reserved under Plan Sections 7(a) and 7(b)(v)) to reduce the amount<br \/>\nof Performance Share Units deemed earned, in its sole discretion.<\/p>\n<\/p>\n<p align=\"center\">13<\/p>\n","protected":false},"template":"","meta":{"_acf_changed":false,"_stopmodifiedupdate":true,"_modified_date":"","_cloudinary_featured_overwrite":false},"corporate_contracts_companies":[6948],"corporate_contracts_industries":[9407],"corporate_contracts_types":[9539,9546],"class_list":["post-40259","corporate_contracts","type-corporate_contracts","status-publish","hentry","corporate_contracts_companies-bristol-myers-squibb-co","corporate_contracts_industries-drugs__pharma","corporate_contracts_types-compensation","corporate_contracts_types-compensation__incentive"],"acf":[],"_links":{"self":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts\/40259","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=40259"}],"wp:term":[{"taxonomy":"corporate_contracts_companies","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_companies?post=40259"},{"taxonomy":"corporate_contracts_industries","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_industries?post=40259"},{"taxonomy":"corporate_contracts_types","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_contracts_types?post=40259"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}