Snap-on Incorporated Employment Agreement with Nicholas T. Pinchuk (President & CEO)
This agreement confirms Nicholas T. Pinchuk's promotion to President and Chief Executive Officer of Snap-on Incorporated, effective December 18, 2007. It outlines his base salary, bonus targets, and long-term incentive grant. Mr. Pinchuk remains eligible for company benefit plans and will be offered a new change in control agreement. The agreement also terminates a prior severance agreement. Both parties have signed to acknowledge acceptance of these terms.
Exhibit 10.1
Snap-on Incorporated
December 18, 2007
Mr. Nicholas T. Pinchuk
1430 W. Lakewood Drive
Lake Forest, IL 60045
Dear Nick,
It is with pleasure that I confirm the details of your promotion to the position of president and chief executive officer.
| Start Date: |
| December 18, 2007 | ||
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| Base Salary: |
| $750,000 | ||
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| MIP Target: |
| 100% of base salary weighted as follows: | ||
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| · | 50% Snap-on Consolidated Financial Matrix |
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| · | 50% Strategic Business Goals |
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| LTI Target Grant Value: |
| $3,000,000 | ||
The following terms and conditions also apply to your position:
1. You will continue to be eligible for participation in the Company’s health benefits, supplemental pension, and deferred compensation plans; to the extent those plans continue to be offered to employees.
2. As you were previously notified, the Company will offer you the opportunity to enter into a new change in control agreement to replace your current Senior Officer Agreement which will expire on January 31, 2008.
3. In consideration of your promotion to president and chief executive offer, and effective on your start date, the Company will terminate the agreement dated June 4, 2002 regarding severance payments.
Please acknowledge your acceptance of the terms of this letter by dating and signing where indicated below.
| By: |
| Accepted and Acknowledged By: | ||
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| /s/ Roxanne Decyk |
| /s/ Nicholas T. Pinchuk | ||
| Roxanne Decyk |
| Nicholas T. Pinchuk | ||
| Chair, O&E Committee |
| President & Chief Operating Officer | ||
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| Date: | December 18, 2007 |
| Date: | December 18, 2007 |
cc: Iain Boyd
Snap-on Incorporated
P.O. Box 1410, Kenosha, WI 53141-1410 * Tel: 262 ###-###-####
