Talbots Director Stock Option Grant Letter Agreement
Talbots grants an eligible director an option to purchase a specified number of shares of its common stock at a set price, based on the closing price on the grant date. The option vests according to a schedule and is valid for ten years, expiring on a specified date. If the director leaves the board, the option remains exercisable for one year after departure, subject to the terms of the company's Restated Directors Stock Plan.
Exhibit 10.2
[Date]
[Eligible Director]:
Dear [____]:
It is my pleasure to advise you that, in accordance with the Restated Directors Stock Plan, you have been granted, effective [Date], an Option for an additional [____] shares of Talbots common stock.
The exercise price for each share of common stock subject to this Option is $[____] per share, which was the closing price of the common stock on [Date], as reported by the New York Stock Exchange.
This Option shall vest and become exercisable as follows:
_______________________________________________________________________
The term of this Option shall be ten (10) years and, subject to the other terms and conditions of the Plan, will expire on [Date].
Upon the cessation of your service as a member of the Board of Directors, the term during which this Option shall be exercisable shall continue for a period of one year from the date you cease to be a member of the Board of Directors.
Sincerely,
ABZ/jmd
| cc: | Richard T. O’Connell, Jr. | |
| Secretary to the Board of Directors |
