Sprint Corporation Special Incentive Compensation Plan Effective August 7, 2000

Summary

Sprint Corporation has established a Special Incentive Compensation Plan for its employees, effective August 7, 2000. The plan is designed to motivate employees by rewarding them for achieving specific company initiatives during defined performance cycles. The Organization, Compensation and Nominating Committee administers the plan, selects participants, sets performance criteria, and determines awards. Employees may receive cash payments based on performance, with special rules for those who are hired, promoted, or leave the company during a cycle. The plan can be amended or terminated by the Board at any time and is governed by Kansas law.

EX-10.(VII) 8 0008.txt SPECIAL INCENTIVE PLAN Exhibit 10(g) SPRINT CORPORATION Special Incentive Plan 1.0 Establishment 1.01 The Special Incentive Compensation Plan is effective August 7, 2000. 2.0 Definitions 2.01 "Board" is the Board of Directors of Sprint Corporation. 2.02 "Committee" is the Organization, Compensation and Nominating Committee of the Board. 2.03 "Company" is Sprint Corporation. 2.04 "Employee" is any person (including officers and directors of the Company) employed by the Company, or a subsidiary of the Company. 2.05 "Participant" is an employee designated by the Committee to participate in the Plan. 2.06 "Senior Officer" is an officer of the Company holding the office of Senior Vice President or higher. 3.0 Purpose 3.01 The Plan is intended to refocus and re-energize Employees on selected important initiatives of the Company. 4.0 Administration 4.01 The Committee will be responsible for the administration of the Plan. This Committee is authorized to interpret the Plan, to prescribe, amend, and rescind rules and regulations deemed advisable to protect the interests of the Company, and to make all other administrative determinations necessary. Any determination, interpretation or other action made or taken by the Committee pursuant to the Plan's provisions will be final for all purposes and upon all persons. 4.02 The Committee may delegate to a Senior Officer or a Committee of Senior Officers the right to select participants and grant awards under the Plan to employees who are not Senior Officers. The Senior Officer or Committee of Senior Officers shall have the same powers with respect to such awards as the Committee has under this Plan, provided 1 that all decisions must be within the boundaries of the Compensation Philosophy established by the Committee. 5.0 Performance Cycle 5.01 A Performance Cycle consists of a period of time determined by the Committee. 6.0 Performance Criteria 6.01 For each Performance Cycle, the Committee will determine the factors to be used for measuring performance. 7.0 Adjustments 7.01 The Committee may make adjustments in the Performance Criteria to compensate for any changes that significantly alter the basis upon which the Criteria were determined. These adjustments may be made before or after the end of the cycle. To the extent the Committee deems appropriate, all changes will be binding upon all parties concerned during the Cycle. 8.0 Participation 8.01 For each Performance Cycle, the Committee will determine which key employees, who are in a position to influence the Company's success, will participate in the Plan. 8.02 Employees hired or promoted during a Performance Cycle into a position appropriate for participation in this Plan may either participate in the already existing Performance Cycle on a prorated basis, or be held out until the beginning of the next Performance Cycle. This determination will be made by the Committee. 9.0 Payment 9.01 The Committee will determine the incentive opportunity (or possible cash payment) earned by each participant for any Performance Cycle. 9.02 The Committee will approve the payment of any award made under the Plan. Payments will be made following the end of each Performance Cycle. 9.03 The department or affiliated company where the employee is located at the end of the Performance Cycle year is responsible for the total Performance Cycle payout, including any pro rata awards from other 2 plans. Management at the final location is responsible for determining the level of payout for the entire Performance Cycle year. The participant's former company or department is to be solicited to determine the prorata payout from other plans. 10.0 Termination of Employment 10.01 If termination of employment occurs during a Performance Cycle by reason of death, disability (as determined under the Company's long-term disability program), normal retirement (as determined under the Company's retirement plan), or involuntary termination not for cause the Participant will be entitled to a prorated award based upon appropriate Performance Criteria. The Committee will determine the prorated award under the rules and regulations it establishes. The award will be paid when all other payments are made at the end of the cycle. Should an employee terminate to immediately become employed by an affiliated organization, a pro rata payment may also be extended. If termination of employment occurs for reasons other than death, disability, normal retirement, transfer or involuntary termination not for cause the Participant's interests and rights in this Plan will be forfeited, unless otherwise determined by the Committee. 11.0 Non-Transferability 11.01 An employee's rights and interests under the Plan may not be sold, pledged, assigned or transferred in any manner other than by will or by the laws of descent and distribution except as provided by the Plan or specified by the Committee. 12.0 Tax Withholding 12.01 The Company retains the right to deduct from all awards paid in cash any taxes required by law to be withheld with respect to cash awards. 13.0 Continuance of Employment 13.01 Nothing under the Plan or any action taken because of Plan will be construed as giving any employee any right to be retained in the Company's employ. 14.0 Amendment and Termination 14.01 The Board, at any time may terminate, and at any time and in any respect may amend or modify the Plan. 3 15.0 Legal Requirements 15.01 The designation of participation and any opportunity in the Plan, together with the payment of cash, will be subject to all applicable federal, state and local laws, rules and regulations. 15.02 The Plan and all related provisions will be construed in accordance with and governed by the laws of the State of Kansas.