Amendment to Long-Term Incentive Compensation Plan Regarding Fair Market Value Definition

Contract Categories: Human Resources › Bonus & Incentive Agreements
Summary

This amendment updates the Long-Term Incentive Compensation Plan to clarify how the 'Fair Market Value' of company shares is determined. For option grants made on February 27, 2007, the fair market value is set as the closing price on the New York Stock Exchange for that day. For option exercises involving a market transaction, the fair market value is defined as the actual sale price. The amendment was approved by the Human Resources Committee and is effective as of February 28, 2007.

Read More Arrow
EX-10.(A) 2 f27602exv10wxay.htm EXHIBIT 10.(A) exv10wxay  

Exhibit 10(a)
Amendment to Long-Term Incentive Compensation Plan
     Effective February 28, 2007, Section 2.1(l) of the Long-Term Incentive Compensation Plan was amended in its entirety to read as follows:
  (l)   “Fair Market Value” as of any date means, unless a different calculation measure is specified by the Committee, that day’s closing sales price of a Share on the New York Stock Exchange.
Action of Human Resources Committee Specifying “Fair Market Value” for February 27, 2007 Option Grants Under the Long-Term Incentive Compensation Plan and for Option Exercises Involving a Market Transaction
     RESOLVED that for purposes of the option grants under the Plan approved by the Committee on February 27, 2007, “Fair Market Value” shall mean the closing sales price of a Share on the New York Stock Exchange for February 27, 2007.
     RESOLVED that for purposes of determining the amount of compensation and withholding taxes from a cashless exercise (same-day sale) or other Option exercise involving a market transaction, “Fair Market Value” shall mean the actual price at which the sale transaction occurs.