Amendment to Benefit Equalization Plan for William Clay Ford, Jr. and Carl E. Reichardt
This amendment to the company's Benefit Equalization Plan (BEP) ensures that William Clay Ford, Jr. and Carl E. Reichardt, who do not receive a cash salary and are only eligible for the General Retirement Plan (GRP) on a non-contributory basis, will accrue an equalization benefit. This benefit, combined with their GRP non-contributory benefit, will provide them with retirement benefits as if they had a base annual salary and were contributing members of the GRP.
Exhibit 10-E-1
In 2002, the Board of Directors amended the Company’s Benefit Equalization plan (“BEP”) to provide that William Clay Ford, Jr. and Carl E. Reichardt, who are eligible to participate in the Company’s General Retirement Plan (“GRP”) only on a non-contributory basis because they do not receive a cash salary, accrue an equalization benefit under the BEP. The equalization benefit provides, in combination with the GRP non-contributory benefit, an amount equal to the amount Mr. Ford and Mr. Reichardt would have received under the GRP using the notional base annual salary and assuming that Mr. Ford and Mr. Reichardt would have been contributing members.
