EX-10.6 5 exhibit1062024restiricteds.htm EX-10.6
Exhibit 10.6
L 3HAR R IS TECHN O LO G I ES, IN C. RE S TRI C TED U NIT AWA R D A GREE M ENT TER M S A N D C ONDITIONS
(As of F e b r u a r y 13, 2024)
1. R e strict e d Unit A w a rd – T e rms a nd Condi t ion s. P ursu a nt to the w r i t ten n ot i c e or letter of a w a rd (whi c h may be in e le c tronic fo r m) (the “A w a r d No t ice”) f r om L3H a r ris T ec hnolog i e s, I n c. (the “Co mp a ny”) to the e mp l oy e e sp ec ifi e d in t he A wa rd Noti c e (the “E m p loye e”), the Company h a s gr a nted to the Employ ee, on the te r ms a nd c ondi t ions s e t fo r th in the A wa rd Notice a nd h e r e in (th e s e “T e r m s a n d Con d itio ns” a nd to g e ther with the A w a rd No t ic e, the “A g ree m e n t”), a nd und e r a nd othe r wi s e subj ec t t o the p r ovis i ons of the Company’s 2015 Equity I n ce nt i ve P lan (a s may be a mend e d f r om t i me to t i me, the “Pla n”), a R e strict e d Unit A wa rd (the “A w a r d”) of s u c h number of r e stric t e d uni t s sp ec ifi e d in t he A w a rd N ot i c e a s b e ing subj e c t t o the A w a rd (su c h un i ts, as may be a djus t e d in acc ord a n c e with S ec t i on 1(c) of these T e rms a nd Condi t ions, the “R e s t r ic te d Un it s”). At a ll t i mes, eac h R e strict e d U nit sh a ll be e qu a l i n v a l u e to one sh a r e of c om m on sto c k, $1.00 p a r v a l u e p e r sh a r e (the “Co mm on S to c k”), of the Compa n y (a “Sh a r e”).
(a) A cce p t a n c e of A w a rd; R e striction P e rio d. The A w a rd must be acce pted b y the Employee using the a cce pta n c e method sp e c if i e d by the Company (w hi c h may be in e le c tronic fo r m) with i n ninety (90) d a ys following the gr a nt d a te of the A wa rd (o r, if the Employ e e is on a Company-a ppro ve d le a v e of a bs e n c e f r om t h e C ompany a t a ny t i me d u ring su c h 9 0-d a y p e riod, then w i t hin n i n e ty (9 0) d a ys following t he Employ ee’s r e turn to a c t i ve s er vice with t he Company f r om su c h le a ve of a bs e n ce), a nd if not so acce pt e d, the A wa rd a nd a ll R e s t ri c ted Units subj ec t to the A wa rd sh a ll be a u t omatic a l l y fo r f e i t e d. F or purp o s e s of t h e Ag re e ment, the “R e st r ic t ion P er io d” is the p e riod b e g inn i ng on the gr a nt d a te o f the A w a rd a nd e nding a s s e t fo r th in the A wa rd Notic e. The Bo a rd Co m m i t t e e may, in acc ord a n c e with the P lan a nd to t h e e xtent p e rm i t t e d by S ec t i on 409A of the Code (if a ppl i ca b l e), a cce l e rate the e xpir a t i on of the R e striction P e riod a s to some or a ll of the R e stri c ted U ni t s a t any ti m e.
(b) P a yout of A w a rd. P rovi d e d the A w a rd h a s not previously b ee n fo r f e i t e d, a s soon a s a dm i nis t r a t ively pr a c t i ca b l e following the e xpir a t i on of the R e striction P e riod, but in no e v e nt lat e r than six t y (60) d a ys following the e xpir a t i on of the R e striction P e rio d, the Company sh a ll is s ue to the Empl o y e e in a sing l e p a yment the number of S h a r e s u n d e rlying the R e strict e d Unit s, subj ec t to a ppl i ca ble withho l dings a nd s a t i sf ac t i on the re o f (in c l u ding r e taining S h a r e s othe r wise is s u a ble) a s p rovid e d in S ec t i on 13.2 of the P la n. Upon p a yout of the A wa rd, the Company sh a ll a t i t s opt i on ca use the S h a r e s a s to whi c h the Employ e e is e nt i t l e d pursu a nt h e r e to: (i) to be r e l e a s e d without r e striction on tr a n s f e r b y d e l i v e ry to the c ustody of the Employ e e of a stock ce rtifi ca te in the n a me o f the Employ e e or his or h e r d e signee or (ii) to be c r e di t e d without r e striction on t r a nsf e r to a boo k-e ntry a c c ount for t h e b e n e fit of t h e Employ e e or his or h e r d e sign e e maintain e d by the Company’s sto c k tr a ns f e r a g e n t or its d e signe e.
(c) Righ t s Du r ing R e strict i on P e riod; Dividend E quival e nt s. Du r ing the R e striction P e riod, the E mp l oy e e sh a ll not h a v e a ny rights a s a s h a r e ho l d e r with r e sp e c t to the S h a r e s und e rlying the R e strict e d Units. Du r ing the R e striction P e riod, if the Company p a ys

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div i d e nds or mak e s other dis t ributions on the C o m m on S tock, the Empl o y e e sh a ll be e nt i t l e d to r e ce i v e f r om the Company a t the t i me of p a yout in r e sp e c t of the A w a rd di v idend e quival e nts f o r su c h div i d e nds or other dis t ribution s, e i t h e r in ca sh, in the ca se of a c a sh d i vidend or ca sh dis t ribution, or other pr o p e rty, in the ca s e of a n o n-ca sh div i d e nd or no n-ca sh dis t ribution, a s a ppl i ca ble, in r e s p ec t of t he number of S h a r e s und e rlying the R e strict e d Un i ts, in eac h ca s e, subj e c t to applic a ble withho l dings a nd s a t i s f ac t i o n the r e of (in c lud i ng r e taining ca sh othe r wise p a y a ble o r S h a r e s oth e r wise is s u a b l e) a s pro v ided in Se c t i on 13.2 of the P l a n. No su c h div i d e nd e quival e nts will be p a id in r e sp e c t of R e strict e d Units that a re fo r f e i t e d or c a n c e l l e d. N o in t e r e st sh a ll b e p a id on a ny su c h div i d e nd e q u ival e nts. I f the number o f the Company’s outs t a n ding S h a r e s is c h a ng e d a s a r e sult of a stock d i vidend, stock spl i t or t h e l i k e, without a ddi t ion a l c onsid e r a t i on to the Company, the R e strict e d Units subj ec t to the A w a r d sh a ll be a djus t e d to c o r r e spond to the c h a n g e in the Company’s outs ta nding S h a r e s. Upon the e xpir a t i on of the R e stric t ion P e riod a nd p a yout of the A wa rd, t h e Employ e e may e x e r c ise vot i ng rights a nd sh a ll be e nt i t l e d to r e ce ive div i d e nds a nd other dis t ributions with r e sp e c t to the nu m b e r o f S h a r e s to whi c h t he Employ e e is e nt i t l e d pursu a nt he re to.
2. P rohibition Ag a inst T ra n sf e r. Until the e xpir a t i on of the R e striction P e r i od a nd p a yout of the A w a rd, the A wa rd, t h e R e strict e d Units subj ec t to the A wa rd, a ny in t e r e st in the S h a r e s r e l a ted the r e to, a n d the rights gr a nted un d e r these T e rms a nd Condi t ions a nd the Ag r ee ment a re not t r a nsf e r a ble e x ce pt by will or by the l a ws of d e s c e nt a nd dis t ribution in the e v e nt of the Employ ee’s d e a th. Wit h out l i m i t ing t he g e n e r a l i ty of the fo re going, e x c e p t as a f o r e s a id, un t il the e xpir a t i on of the R e stri c t i on P e riod a nd p a yout of the A w a rd, the A w ar d, the R e strict e d Units subj ec t to the A wa rd, a n y in t e r e st in the S h a r e s relat e d t h e r e to, a nd the ri g hts gr a nted und e r these T e rms a nd Condi t ions a nd the Ag r ee ment may not be sold, e x c h a n g e d, a ss i gn e d, t r a nsf e r re d, pledg e d, hypothe c a ted, e n c umbe re d o r othe r wise dispos e d of, sh a ll not be a ss i gn a ble by op e r a t i on of la w, a nd s h a ll not be s ubje c t to e x ec ut i on, a t ta c hment, c h a rg e, a l i e n a t i on or si m i l a r p ro c e ss. Any a t t e mpt to e f fe c t any of the fo re going s h a ll be null a nd void and w i t hout e f fe c t.
3. F or f e i t ure for T e rmin a t i o n of E mp l oymen t; Ex ce p t i on s.
(a) Ex ce pt in the e v e nt the E mp l oy e e c e a s e s to be a n e mp l oy e e of the Company a s s e t fo r th in S ec t i on 3(b) (due to d e a th or Dis a bi l i t y (a s d e fin e d b e low)) or a s s e t fo r th in S ec t i on 3(c) (due to ce rt a in c ir c ums t a n ce s in c onn ec t i on with a Ch a nge in Control of the Company that o cc u rs fol l owing the g r a nt date of t he A w a rd), it sh a ll be a c ondi t ion t o the v e st i ng of R e strict e d Units a nd the p a yment of S h a r e s following the e xpi r a t i on of the R e striction P e ri o d that the Employ e e sh a ll h a ve r e m a i n e d c ont i nuously in the e mp l oy of the C o mpany for a m i ni m um of one y ea r f rom the gr a n t d a te of the A wa rd (the “M i n i m u m V e sti n g P er io d”), a nd in the e v e nt that the Min i mum V e st i n g P e riod is not s a t i sfi e d, the A wa rd a nd a ny R e st r ict e d Units or right to p a yment of S h a r e s sh a ll be i m medi a tely a nd a uto m a t i ca l l y fo r f e i t e d upon the Employ ee’s te r m i n a t i on of e mp l oyment with t he Company. E x ce pt i n the e v e nt t he E m ployee c e a s e s to be a n e mp l oy e e of the Compa n y a s s e t fo r th in S ec t i on 3(b) (d u e to d ea th or Dis a bi l i t y) or a s s e t fo r th in S ec t i on 3(c) (due to ce r t a in c i r c ums t a n ce s in c onn e c t i on with a Ch a n g e in Control of the Company that o c c urs following the gr a nt d a te of the A w a rd) o r a s o t h e r w ise provid e d in the A wa rd Notic e, if the E m ployee c ea s e s to b e a n e mp l oy e e of the Compa n y following s a t i sf a c t i on of the Min i mum V e st i ng P e riod but prior to t he e x pir a t i on of the R e striction P e rio d:

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(i) for a ny r ea son oth e r than those d e s c rib e d in Se c t i on 3(a)(i i) (due to a Qualifying Early Retirement (as defined below) or an involuntary termination by the Company other than for Cause (as defined below)), Section 3(a)(iii) (due to a Qualifying Full Retirement (as defined below)), Se c t i on 3(b) or Se c t i on 3(c), a ll R e strict e d Units subj ec t to the A w a rd sh a ll be i m medi a tely a nd a uto m a t i ca l l y fo r f e i t e d u pon su c h te r m i n a t i on of e mp l oymen t;
(ii) due to (A) a Qualifying Early Retirement (as defined below) or (B) invo l unta r y te r m i n a t i on of e mp l oyment of t h e Employ e e by the Comp a ny other than for C a u s e (a s d e fin e d b e low), but excluding a n involuntary termination that would be deemed to fall within the definition of a Qualifying Full Retirement, t h e E mp l oy e e sh a ll be v e sted i n, a nd e nt i t l e d to r ece ive a p a yout in r e s p ec t o f, a pro-r a t a portion of the R e strict e d Units subj ec t t o the A wa rd, a nd the remaining portion of the R e strict e d Units subj ec t to the A wa rd sh a ll be a uto m a t i ca l l y fo r f e i t e d a s of the d a te of su c h r e t i r e ment o r t e rmin a t i on of e mp l oyment. S u c h p r o-r a ta portion s h a ll be me a su r e d by a f r a c t i on, of whi c h the nume ra tor is the number of d a ys of the R e striction P e r i od during whi c h the Employ ee’s e mp l oyment c ont i nu e d, a nd the d e n o m i n a tor is t he number of d a ys of the R e striction P e riod. The R e striction P e riod sh a ll i m medi a tely e xpire upon su c h r e t i rement or te r m i n a t i on of e mp l oyment with r e s p ec t to su c h p r o-r a ta p o rtion that is v e sted pursu a nt to the provisions o f th i s S ec t i on 3(a)(i i), if a ny, a n d, subj ec t to S ec t i on 10, the p a yout in r e sp ec t of su c h pr o-r a t a portion sh a ll be made a s soon a s a dm i nis t r a t i v e ly pr a c t i c a ble following su c h i m medi a te e xpir a t i on of t h e R e striction P e riod, but i n no e v e nt lat e r than six t y (6 0) d a ys following su c h i m medi a te e xpir a t i on of the R e striction P e riod; or
(iii) due to a Qualifying Full Retirement (as defined below), t h e E mp l oy e e sh a ll be v e sted i n, a nd e nt i t l e d to r ece ive a p a yout in r e s p ec t o f all of the R e strict e d Units subj ec t t o the A wa rd as though the Employee continued providing services through the end of the original Restriction Period. T he p a yout in r e sp ec t of su c h Restricted Units described in the preceding sentence sh a ll be made a s soon a s a dm i nis t r a t ively pr a c t i ca b l e, but not later than sixty (60) days, following each date on which the original R e striction P e riod would have lapsed, at which time the Company sh a ll is s ue to the Empl o y e e the number of S h a r e s u n d e rlying such R e strict e d Unit s that were originally scheduled to vest on such date, subj ec t to a ppl i ca ble withho l dings a nd s a t i sf ac t i on the re o f (in c l u ding r e taining S h a r e s othe r wise is s u a ble) a s p rovid e d in S ec t i on 13.2 of the P la n.
(b) If the Employ e e cea s e s to be a n e mp l oy e e of t h e Company prior to the e xpir a t i on of the R e st r iction P e riod due to d ea th or Disabil i t y, the Employ ee’s h e irs or b e n e fi c i a ri e s or the Employ ee, a s a ppl i ca ble, sh a ll be fully v e sted in, a n d e nt i t l e d to r e ce ive a p a yout in r e s p ec t of, the t otal number of R e strict e d Units subj ec t to the A w a rd. I n s u c h e v e nt, the R e striction P e riod sh a ll i m medi a tely e xpire upon the Employ e e so c e a sing to be a n e mp l oy e e of the Company, a nd subj e c t to S ec t i on 10, the p a yout in r e sp ec t of the R e s tri c ted Units subj ec t to the A w a rd sh a ll b e m a de a s soon a s a dm i nis t r a t i v e ly pra c t i ca ble following su c h i m medi a te e xpir a t i on of the R e stri c t i on P e riod, but in no e v e nt lat e r than six t y (6 0) d a ys following su c h i m medi a te e xpir a t i on of t he R e stri c t i on P e riod.
(c) If a Ch a n g e in Control of the Company o c c urs f o l l owing the gr a nt d a te o f the A w a rd a nd the Employ e e cea s e s th e r e a ft e r to be a n e mp l oy e e o f the Company prior to t h e

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e xpir a t i on of the R e striction P e riod due to (i) i nvolun t a ry te r m i n a t i on of e mp l oyment of the Employ e e by the Company other than for C a us e, or (ii) volun t a ry te r m i n a t ion of e mp l oyment by the Employ e e for Good R ea son (a s d e fin e d b e lo w), then the Employ e e sh a ll be fully v e sted in, a n d e nt i t l e d to r e ce ive a p a y o ut in r e sp ec t of, the to t a l n umber of R e strict e d Uni t s subj ec t to the A wa rd. I n su c h e v e nt, the R e stri c t i on P e riod sh a ll i m medi a tely e xpire upon the E m ployee so cea sing to be a n e mp l oy e e of t h e Compan y, a nd sub j ec t to Se c t i on 10, the p a yout in r e s p ec t of the R e strict e d Units subj ec t to the A wa rd sh a ll be made a s soon a s a dm i nis t r a t i v e ly pra c t i ca ble following su c h i m medi a te e xpir a t i on o f t he R e striction P e riod, but in no e v e nt la t e r t h a n s ix t y (60) d a ys following su c h i m medi a te e xpir a t i o n of the R e striction P e riod; provided that in the event such termination occurs on or after the date the Employee is Full Retirement Eligible and either the date of termination occurs more than 24 months after the date of the Change in Control or the Change in Control does not constitute a “change in control event,” within the meaning of Section 409A of the Code, then, except as otherwise permitted under Section 409A of the Code, the payout shall be made a s soon a s a dm i nis t r a t ively pr a c t i ca b l e, but not later than sixty (60) days, following each date on which the original R e striction P e riod would have lapsed.
Notwithstanding a nyth i ng in these T e rms a nd C o ndi t ions or the Ag r ee m e nt to the c ontr a ry, (x) if t h e Empl o y ee’s e mp l oyment is te r m i n a ted by the Company other than for C a u s e or Dis a bi l i t y with i n six t y (6 0) d a ys prior to a Ch a nge in Control of the Company that o cc urs following the gr a nt d a te of the A w a rd, a nd the Employ e e r e a son a bly d e monstr a tes th a t su c h te r m i n a t i on w a s a t the r e qu e st or sugg e st i o n of a th i rd p a rty who h a s ind i c a ted a n in t e nt i on or t a k e n steps re a son a bly ca lcul a ted to e f f e c t su c h a Ch a nge in Control (a “T h ird Pa r ty”) a nd su c h a Ch a nge in Control invo l ving su c h Third P a r ty o cc urs, then for a ll purp o s e s of these T e rms a n d Condi t ions a nd the Ag ree ment, the d a te of su c h Ch a nge in Control sh a ll me a n the d a te i m m e diat e ly prior to the d a te of su c h te r m i n a t i on of e mp l oymen t; a nd (y) if a Ch a nge in Control of the Company o cc urs following the gr a nt d a te of the A wa rd a nd the Company or i t s su cce ssor do e s not a ssu m e or c ont i nu e, or subs t i t ute e quival e nt r e strict e d s e c uri t ies fo r, the R e strict e d U n i t s, then the Employ e e sh a ll be fully v e sted in, a nd e nt i t l e d to r e ce i v e a p a yout in r e sp ec t of, the to t a l number of R e stric t e d Units subj ec t to the A w a r d, a nd in su c h e v e nt, t he R e st r iction P e riod s h a ll i m medi a tely e xpi r e upon the e f f e c t i ve d a te o f the Ch a nge in Contro l, a nd subj ec t to S ec t i on 10, the p a yout in r e sp ec t of the R e strict e d Units subj ec t t o the A w a rd sh a ll be made a s soon as a dm i nis t r a t i v e ly pr ac t i ca ble following su c h i m medi a t e e xpi r a t i on of the R e str i c t i on P e riod, but in no e v e nt lat e r than six t y (60) d a ys following su c h i m medi a te e xpi r a t i on of the R e striction P e rio d; provided that in the event such termination occurs on or after the date the Employee is Full Retirement Eligible, then, except as otherwise permitted under Section 409A of the Code, the payout shall be made a s soon a s a dm i nis t r a t ively pr a c t i ca b l e, but not later than sixty (60) days, following each date on which the original R e striction P e riod would have lapsed.
(d) F or p u rpo s e s of t h e Ag re e men t:
(i) “Caus e” sh a ll h a v e the me a ning assigned to su c h te r m i n the P l a n. Any ac t, or f a i l u r e to ac t, b a s e d upon a uthority giv e n pursu a nt to a r e solu t ion
duly a dopted by the Bo a r d or b a s e d on the a dvice o f c ouns e l for t h e Company sh a ll be c on c lus i v e ly pr e sumed to be don e, or om i t t e d to be don e, by the Employ e e in good f a i t h a nd in the b e st i n te re sts of the Company. A f t e r a Ch a nge in Control o f t h e Company that o cc urs f ol l owing the gr a nt d a te

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of the A w a rd, (A) in the c a se of a n e mp l oy e e who is a ppoin t e d or e le c ted by the Bo a rd a s a n o f f ic e r of the Company (a n “O f f ic e r”), C a use sh a ll not e x ist unless a nd unt i l t he Company h a s d e l i v e r e d to the Employ e e a c opy o f a r e solu t ion duly a dop t e d by thr e e-qu a r t e rs (3/4) of the e nt i re Bo a rd a t a me e t i ng of the Bo a rd ca l l e d a nd h e ld for su c h purp o se (a ft e r th i rty (3 0) d a ys’ not i c e to t h e Employ e e a nd a n oppo r tun i ty for the Employ ee, togeth e r with c ouns e l, to be h ea rd b e fo r e the Bo a rd), finding that in t h e good f a i t h opin i on of t he Bo a rd a n e v e nt s e t fo r th in the d e fini t ion of “C a us e” in the P lan h a s o cc u r r e d a nd s p ec i fyi n g the p a rti c ula r s t h e r e o f in d e tai l; a nd (B) the Company must not i fy t h e Employ e e of a ny e v e nt c onsti t ut i ng C a use with i n ninety (90) d a ys following the Company’s knowl e dge of i t s e xis t e n c e or su c h e v e nt sh a ll not c onsti t ute C a use und e r the Ag ree m e nt.
(i i) “Disa b i l ity” me a ns a to t a l a nd p e rm a n e nt disabi l i t y during whi c h the Employ e e b ec omes e nt i t l e d to a dis a bi l i t y b e n e fit und e r Title II o f the Fe d e r a l S o c ial Se c urity A c t, a s a mend e d f r om t i me to t i m e, or a to t a l a nd p e rm a n e nt disabili t y dur i ng whi c h t h e Employ e e is e nt i t l e d to r ece ive dis a bi l i t y b e n e fits und e r the Company’s a ppl i ca b l e l o n g-te r m disabili t y plan or would h a v e b e e n e nt i t l e d to re ce ive disabili t y b e n e fits und e r su c h lon g-te r m disabili t y plan h a d the E mp l oy e e p a rti c ipa t e d in su c h plan.
(i i i) “Good R e aso n” me a ns, without the Employ ee’s e xpr e ss w r i t ten c ons e nt, the o cc u r r e n c e o f a ny o f the following e v e nts a ft e r a Ch a nge in C o ntrol of the Company that o cc urs following the gr a nt d a te of the A wa rd: (A) if the Employ e e is a n O f fi ce r i m medi a tely prior to su c h Ch a nge i n Contro l, (1) a ny mat e ri a l l y a dv e rse di m inu t ion of the Employ ee’s posit i on(s), dut i e s, r e sp o nsib i l i t i e s or status with the Company a s in e f f e c t i m medi a tely prior to su c h Ch a nge in Cont r ol or (2) a mat e ri a l a dv e rse c h a n g e in the Employ ee’s r e porting r e spons i bi l i t ies, t i t l e s or of f ic e s with the Compa n y a s in e f f e c t i m medi a te l y prior to su c h Ch a nge in Control; (B) a r e du c t i on by the Company in t h e Employ e e’s r a te o f a n n u a l b a se s a l a r y, a nnu a l ta r g e t ca sh inc e nt i ve bo n us opportun i ty or a nnu a l t a rg e t lon g-te r m inc e nt i ve oppo r tun i ty (including a ny a dv e rse c h a nge in t h e fo r mu l a f o r su c h a nnu a l ta r g e t c a sh i n ce nt i ve b o nus oppo r tun i ty and/or a nnu a l ta r g e t lon g-te r m i n ce nt i ve oppo r tun i t y) a s in e f f e c t i m medi a tely pr i or to su c h Ch a nge in Control or a s the s a me m a y be inc r ea s e d f r om t i me to t i me the re a ft e r; or (C) any r e qui r e ment of the Company that the E m ployee (1) be b a s e d a ny w h e re more than fi f ty (5 0) m i les f r om the f a c i l i t y wh e re the Emp l oy e e is loc a ted a t the t i me of su c h Ch a nge in Control or (2) tr a v e l on Company busin e ss to a n e xtent subs t a nt i a l l y gr e a ter than the t r a v e l obl i g a t i ons of the Employ e e i m medi a tely prior to su c h Ch a nge in Contro l.
Any e v e nt or c ondi t ion d e s c rib e d in th i s S e c t i on 3(d)(iii) whi c h o cc u rs pri o r to a Ch a nge in Control of the Company that o cc urs following the gr a nt d a te of the A w a r d, but w a s a t the r e qu e st or sugg e st i on of a Third P a rty who e f fec t u a tes su c h Ch a nge in Control, sh a ll c onsti t ute Good R ea son following su c h Ch a nge in Control for purp o s e s of these T e rms a nd Condi t ions a nd the Ag r e e ment notwi t hstanding that it o cc u r r e d prior to s u c h Ch a nge in Control. An isol a ted, insubs t a nt i a l a nd inadv e rt e nt a c t i on t a k e n in good f a i t h a nd wh i c h is r e medi e d by the Company with i n fi f te e n (15) d a ys a ft e r r e c e ipt of not i c e the r e of given by the Employ e e sh a ll not c onsti t ute Good R ea son. The Employ e e must provide not i c e of te r m i n a t i on of e mp l oyment with i n ninety (90) d a ys of the E mp l oy ee’s knowl e dge of a n e v e nt c onsti t ut i ng G ood R ea son or su c h e v e nt sh a ll not constitu t e Good R ea son und e r th e s e T e r ms and Cond i t i ons a nd t h e Ag r e e ment.

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Notwithstanding the f o r e going, in the e v e nt of a M e rger of Equ a ls T ra ns ac t i on that othe r wi s e c onsti t utes a Ch a nge in Control, the Bo a rd C om m i t t e e may d e te r m i ne prior to the c onsummati o n of su c h tr a ns ac t i on to n a r r ow or e l i m i n a te the G ood R ea son trigg e rs s e t fo r th a bov e. F or th i s pu r pos e, a “Mer g e r o f E qu als T r a n sa c tio n” me a ns a me r g e r, c onsolidation, sh a re e x c h a nge or si m i la r fo r m of c or p o r a te r e or g a niz a t i on of the Compa n y or a ny su c h type of tr a ns ac t i on invo l ving the Company or a ny of i t s S ubsidia r ies that r e qui r e s the a p p rov a l of the Company’s sh a r e holde r s (w h e ther f o r su c h tr a n s ac t i on or the is s u a n c e of s ec urities in the tr a ns ac t i on or othe r wis e) (a “B u si n e ss C o mb i n a tio n”) wh e re (A) more t h a n 40% of the to t a l vot i ng pow e r of t h e c o mpany r e sul t ing f r om s u c h Business Comb i n a t i on (in c lud i ng, without l i m i tation, a ny c ompany whi c h dir ec t l y or ind i re c t l y h a s b e n e fi c i a l own e rship of 100% of the Company’s then-outs t a nding s ec urities e l i gib l e to vote for the e le c t i on of the Bo a rd (the “Co mp a n y Vo t i n g S ec u r iti e s”)) e l i gib l e to e l e c t dir ec tors o f su c h c ompany is r e p r e s e nted by sh a r e s t h a t w e re Comp a ny Voting S ec urities i m medi a tely prior to su c h Bus i n e ss Comb i n a t i on (e i t h e r by r e maining outs t a nding or b e ing c onv e rt e d), a nd su c h vot i ng pow e r is in subs t a n t ially the s a me prop o rtion a s the v o t i ng pow e r of su c h Company Voting S ec urities i m medi a tely prior to su c h Business Comb i n a t i on, (B) no p e rson (oth e r than a ny publ i c ly tr a d e d hold i ng c ompany r e sul t ing f r om su c h Business Co m bination, or a ny e mp l oy e e b e n e fit plan sponsor e d or maintain e d by the Company (or t h e c om p a ny r e sul t ing f r om su c h Business Comb i n a t i on)) b ec omes the b e n e fi c ial own e r, dir ec t l y or ind i re c t l y, of 20% or more of t he to t a l vot i ng pow e r of the outs t a nding vot i n g s ec urities e l i gib l e to e le c t dir ec tors of the c ompany r e sul t ing f r om su c h Business Comb i n a t i on, a nd (C) a t l ea st 50% of the m e mbe r s of the bo a rd of di rec tors of the c omp a ny r e sul t i n g f r om su c h Business Comb i n a t i on w e re In c umbent Dir e c t o rs (a s d e fin e d in the following c laus e) a t the t i me of the Bo a r d’s a ppro v a l of the e x ec ut i on of t h e in i t i a l a gr e e ment p roviding for su c h Business Comb i n a t i o n; a nd “I n cu mb e n t Di rec to r s” m ea ns ind i vidua l s who, on J a nu a ry 1, 2020, c onsti t ute the Bo a rd, p rovid e d that a ny p e rson b ec om i ng a dir ec tor sub s e qu e nt to J a nu a ry 1, 2020, whose a ppoin t ment, e le c t i on or nom i n a t i on for e l e c t i on w a s a p p rov e d by a vote of a t l e a st tw o-th i rds of the I n c um b e nt Dir e c tors who r e main on the Bo a rd (e i t h e r by a sp ec ific vote or by a ppro va l of the proxy stat e ment of the C ompany in whi c h su c h p e rson is n a med a s a nom i n e e for dir ec t o r, without obje c t i on to su c h nom i n a t i on) sh a ll a lso be d e e med to be a n I n c umb e nt Dir e c tor; provi d e d, how e v er, t h a t no ind i vidual in i t i a l l y e le c ted, a ppo i nted or nom i n a ted a s a d i r e c tor o f the Company a s a r e sult of a n ac tual or publ i c ly thr ea ten e d e le c t i on c ontest with r e sp ec t to dir ec tors or a ny other ac tual or publ i c ly thr e a t e n e d sol i c i t a t i on of proxi e s or c ons e nts by or on b e h a lf of a ny p e rson other than the Bo a rd sh a ll be d ee med to be a n I n c umb e nt Dir ec to r.
(i v) “Q u al i fying Early R e ti re m e nt” me a ns r e t i r e m e nt a f t e r a g e six t y (60) with five (5) or more y ea rs of ful l-t i me s e rvi c e with the Compan y but prior to being eligible for a Qualifying Full Retirement, prov i d e d, that in order for any such retirement to be a Qualifying Early Retirement, the Employ e e (A) h a s given w r i t ten no t ic e, in fo r m r e a so n a bly s a t i sf ac tory to the Company, to the Employ ee’s sup e rviso r, with a c opy to the Vi c e P r e sident, Chief Hum a n R e sour c e s O f fi ce r of the Company (o r, if the Employ e e is t h e Vi c e P r e si d ent, Chief H uman R e sour c e s O f f i c e r of the Company, to the Chief Ex ec ut i ve O f fi c e r of the Company) that (1) sp ec ifies the Employ ee’s in t e nt to r e t i re f r om the Comp a ny a nd the p a rti c ular in t e nd e d d a te of such r e t i r e men t, whi c h must be a t l ea st six (6) mon t h s a ft e r the d a t e su c h w r i t t e n not i c e is given, a nd (2) h a s not b ee n pre ce d e d by not i c e f r om the Company to the Employ e e of the ac tual or i m p e nd i ng te r m i n a t i on of e mp l o y ment of the Employ e e by the Company; a nd (B) h a s r e main e d e mp l oy e d by the Company un ti l the ea r l i e r of (x) the p a rti c ular in t e nd e d d a te of such

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r e t i r e ment sp e c ifi e d i n su c h not i c e (or su c h o ther d a te a s h a s b ee n mu t u a l l y a gr e e d in w riting b e tw e e n the Company a nd the Employ ee) or (y) the d a te on wh i c h the Employ e e c e a s e s to b e a n e mp l oy e e o f the Co m p a ny d ue to d ea th or D i s a bi l i t y or invo l unta r y te r m i n a t i on of e mp l oyment of the E mp l oy e e by t h e Company other than f o r C a use, in each case following the delivery of such notice.
(v) “Qualifying Full Retirement” means an Employee’s retirement or involuntary termination of employment by the Company for a reason other than Cause, in either case after the Employee has attained age sixty-five (65) with ten (10) or more y ea rs of ful l-t i me s e rvi c e with the Compan y (attainment of such age and years of service is referred to as “Full Retirement Eligible”); prov i d e d, that in order for an Employee’s retirement (but not involuntary termination) to be a Qualifying Full Retirement, the Employ e e (A) h a s given w r i t ten no t ic e, in fo r m r e a so n a bly s a t i sf ac tory to the Company, to the Employ ee’s sup e rviso r, with a c opy to the Vi c e P r e sident, Chief Hum a n R e sour c e s O f fi ce r of the Company (o r, if the Employ e e is t h e Vi c e P r e si d ent, Chief H uman R e sour c e s O f f i c e r of the Company, to the Chief Ex ec ut i ve O f fi c e r of the Company) that sp ec ifies the Employ ee’s in t e nt to r e t i re f r om the Comp a ny a nd the p a rti c ular in t e nd e d d a te of such r e t i r e men t, whi c h must be a t l ea st six (6) mon t h s a ft e r the d a t e su c h w r i t t e n not i c e is given; a nd (B) h a s r e main e d e mp l oy e d by the Company un ti l the ea r l i e r of (1) the p a rti c ular in t e nd e d d a te of such r e t i r e ment sp e c ifi e d i n su c h not i c e (or su c h o ther d a te a s h a s b ee n mu t u a l l y a gr e e d in w riting b e tw e e n the Company a nd the Employ ee) or (2) the d a te on wh i c h the Employ e e c e a s e s to b e a n e mp l oy e e o f the Co m p a ny d ue to d ea th or D i s a bi l i t y or invo l unta r y te r m i n a t i on of e mp l oyment of the E mp l oy e e by t h e Company other than f o r C a use, in each case following the delivery of such notice.
4. Ch a nge in Contro l. F o r a voidan c e o f doubt, the o c c ur re n c e of a Ch a n g e in Contr o l of the Company d u ring the R e striction P e riod d o e s not, in a nd o f i t s e lf, a cce l e r a te or oth e r w ise i m p ac t the v e st i ng of the R e strict e d Units subj ec t to the A w a r d, e x ce pt a s s e t fo r th in Se c t io n 3 h e r e in.
5. P rot ec t i ve Cov e n a nt s. In c onsid e r a t i on of, a mong other th i ngs, the g r a n t of the A wa rd to the Employ ee, the Employ e e ac knowl e d g e s a nd a gre e s, by acce p t a n c e of the A w a rd, to the f ol l owing p r ovis i ons:
(a) Non-S ol i c i t a t i o n. Du r i n g the P rot ec t i ve Cov e n a nt P e rio d, the Em p loyee sh a ll not, dir ec t l y or in d ir ec t l y, ind i vidually or on b e h a lf of a ny other e mp l oy e r or a ny oth e r busin e ss, p e rson or e nt i t y: (i) r e c ruit, induc e, S ol i c it or a t t e mpt to r e c ruit, induce or S ol i c it a ny I ndiv i du a l Emplo y e d by the Company to te r m i n a te, a b a ndon o r othe r wi s e le a ve o r discontinue e mp l oyment with the Company; or (ii) hi r e or c a use or a ss i st a ny I ndiv i d u a l Employ e d by the Company to b ec ome e m ployed by or provide s e rvi ce s to a ny ot h e r bus i n e ss, p e rson or e nt i ty wh e ther a s a n e mp l oy e e, c onsultant, c ontr ac tor o r othe r wis e.
(b) Custo m e r a nd P otential Custo m e r Non-I n t e r f e r e n c e. Du r ing t he P rot ec t i ve Cov e n a nt P e riod, the Employ e e sh a ll not, dir ec t l y or ind i r e c t l y, ind i vidually or (i) on b e h a lf of a ny other e mp l oy e r or a ny other busin e ss, p e rson o r e nt i ty, e nt i ce, induc e, S ol i c it or a t t e mpt or p a rti c ipate in e nt i c ing, i n du c ing or S ol i c i t ing, a ny Custo m e r or P otential Custo m e r of the Company to cea se o r r e d u c e or ref ra in f r om doing busin e ss with the Company; o r (ii) on b e h a lf o f a ny

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Competi t ive Business, e nt i ce, induc e, S ol i c it or a t t e mpt or p a rti c ipate in e nt i c ing, inducing or S ol i c i t ing, or acce pt or a t t e mpt or p a rti c ipa t e in a cc e pt i ng, busin e ss f r om a ny Custo m e r or P otential Custo m e r of the Cov e r e d Unit(s).
(c) Non-Compet i t i on. Du r i ng the P rot ec t i ve Cov e n a nt P e riod, the Employ e e sh a ll not, dir ec t l y or i n dir ec t l y, a s a n e mp l oy ee, indep e nd e nt c ontr a c tor, c onsultant, of f ic e r, dir ec tor, ma n a g e r, prin c i p a l, lend e r or investor e ng a ge or othe r wise p a rt i c ipate in a ny ac t i vi t ies with, or provide s e rvi c e s to, a Competi t ive Busin e ss, without the prior w r i t ten c ons e nt of the V i c e P r e sident, Chief Hum a n R e sour ce s O f f i c e r of the Company or other d e signat e d e x ec ut i ve o f fi c e r of the Company (w h i c h c ons e nt sh a ll be a t su c h o f fi ce r’s disc r e t i on to give or withho l d). Nothing in th i s S ec t i on 5(c) sh a ll p r e c lude t h e Employ e e f r o m owning up to 1% of t h e e qui t y in a ny publ i c ly tr a d e d c ompany.
(d) No Disp a r a g e ment or D e triment a l Com m e nt s. Du r ing the Employ e e’s e mp l oyment with the C o mpany a nd the re a ft e r, the Employ e e sh a ll not, dir e c t l y or ind i r e c t l y, make or publ i sh, or ca use to b e made or publ i sh e d, a ny s t a tem e nt, obs e r v a t i on or o pin i on, wh e ther v e rb a l or w r i t ten, t h a t c ritici ze s, dispa ra g e s, d e f a mes or othe r wi s e i m pugns o r re a son a bly may be in t e rp re ted to c ritici ze, d i sp a r a g e, d e f a me or i m pugn, the c h a r a c t e r, in t e gri t y or r e pu t a t i on of the Company or i t s prod uc ts, goods, sys t e ms or s e rvi ce s, or i t s c ur re nt or f or mer dir ec tors, o f fi ce rs, e mp l oy ee s, a g e nts, su c ce ssors or a ss i gn s. Nothi n g in th i s S ec t i on 5(d) is in t e nd e d or should be c onstru e d to pr e v e nt the Employ e e f r om providing truthful testi m ony or i n fo r mation to a ny p e rson or e nt i ty a s r e qu i r e d by l a w or fidu c i a ry dut i e s or a s may be n e ce ssa r y in t he p e r f orm a n c e of t h e Employ ee’s duties in co n n ec t i on with the E mp l oy ee’s e mp l oyment with t h e Company.
(e) Confid e nt i a l i t y. Du r ing the Employ ee’s e mp l oyment with the Company a nd the r ea ft e r, the Employ e e sh a ll not u s e or d i s c lose, e x ce pt on b e h a lf of the Company a nd pursu a nt to a nd in c o m p l i a n c e with i t s dir ec t i on a nd pol i c ies, a ny Confi d e nt i a l I n fo r mation of (i) the Company o r (i i) a ny th i rd p a rty re ce ived b y the Company whi c h t h e Company is ob l igat e d to k ee p c onfid e nt i a l. This S ec t i on 5(e) will a pply i n a ddi t ion to, a nd not in d e rog a t i on of, a ny ot h e r c onfid e nt i a l i ty or no n-disclosure a g r ee ment that may e xis t, now or in t h e futu re, b e t w ee n the Employ e e a nd the Com p a n y.
(f) Consid e r a t i on a nd A c k n owl e dgmen t. The Employ e e a c knowl e dg e s a nd a gr e e s to e a c h of the fol l owing: (i) the Employ e e’s a c c e ptan c e of t h e A w a r d a nd p a rti c ipation in the P lan is volun t a ry; (ii) the b e n e fits a nd rights provid e d by the Ag ree m e nt a nd P lan a re wholly disc re t i on a ry a nd, a l t hough provid e d by the C ompany, do not c onsti t ute r e gul a r or p e riodic p a yments; (iii) the b e n e fits a nd c ompens a t i on pro v ided und e r the Ag r e e me n t a re in a ddi t ion to the b e n e fits a nd c ompens a t i o n that othe r wise a r e or w ould be a v a i l a ble to the E mp l oy e e in c on n ec t i on with the Employ ee’s e m ploy m e nt with the Co m p a ny a nd the gr a nt of t h e A wa rd is e xpr e s sly c ont i ng e nt upon t he Employ ee’s a g r e e m e nt wi t h the Company c ontain e d i n S ec t i o n s 5 a nd 6; (iv) the s c ope a nd du r a t i on of the r e str i c t i ons in S ec t i on 5 a r e f a ir a nd re a son a b l e; (v) if a ny p rovisions of S ec t i o n s 5(a), (b), (c), (d) o r (e), or a ny p a rt t h e r e of, a re h e ld to b e u n e nfo r c ea ble, the c ourt making su c h d e te r m i n a t i on sh a ll h a ve the p o w e r to r e vise or mod i fy s u c h provision to make it e nfo r c ea ble to the maximum e xtent p e rmit t e d b y a ppl i ca ble law a nd, in i t s r e vised or mod i fi e d

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fo r m, su c h provision sh a ll then be e nfo r c ea ble, a nd if the provision is not ca p a ble of b e ing mod i fi e d or r e vised so that it is e n fo rc e a ble, it sh a ll be e x c ised f r om these T e rms a nd Condi t ions w i thout
a f f e c t i ng the e nfo r c e a bi l i t y of the r e maining provis i ons; a nd (vi) the t i me p e r i od of the Employ ee’s obl i g a t i ons und e r S ec t i o n s 5(a), (b) a nd (c) sh a ll be e xtend e d by a p e riod e q u a l to the length of a ny br e ac h o f those obl i g a t i ons by the Employ ee, in a ddi t ion to a ny a nd a ll o t h e r r e med i e s provid e d by these T e rms a nd Co n di t ions or othe r wise a v a i lable to the Company a t law or in e qui t y. The Employ e e fu r ther un d e r s tands a nd ac knowl e d g e s that noth i ng c ontain e d in the Ag ree ment l i m i ts the Employ ee’s a bi l i t y (1) to r e port poss i ble vio l a t ions of law or r e gulation to, or file a c h a r g e or c omp l a int with, the S e c urities a nd Ex c h a n g e C o m m is s ion, the Equ a l Employment Oppo r tun i t y Com m is s ion, the N a t i o n a l L a bor R e lations B o a rd, the O cc up a t i on a l S a f e ty a nd H ea l t h Admin i str a t i on, the D e p a rtm e nt of Jus t i c e, the Congr e ss, a ny Insp ec tor G e n e r a l, o r a ny other Fe d e r a l, state or loc a l gov e rnm e ntal a g e n c y or c om m is s ion (“Gove r n me n t Ag e n c ie s”); (2) to c om m unic a te with a ny Gov e rnm e nt A g e n c ies o r othe r wise p a rti c ipate i n a ny investig a t i on or pro c ee ding t h a t may be c ondu c ted by a ny Go v e r n ment Ag e n c y, includi n g providing do c uments or other info r mation, without not i c e to the C o mpany; or (3) und e r a ppl i ca b l e United S tat e s Fe d e r a l law to (x) disclose in c o n fid e n c e t r a de s e c r e ts to F e d e r a l, stat e, a nd loc a l g o v e rnm e nt of f ic i a ls, or to a n a t t orn e y, for the s o le pur p ose of r e p o rting or investig a t i ng a suspe c ted vio l a t i on of law or (y) disclose tr a d e s e c r e ts in a do c ument fil e d in a la w suit or other proc ee di n g, but only if the filing is m a de und e r s e a l and p r ote c ted f rom public disc l osur e.
(g) D e finit i on s. F or purp o s e s o f S ec t i on 5 of these T e rms a nd Condi t ions, the following d e finit i ons shall apply:
(1) “Co mp e ti t ive B u si n e s s” me a ns a ny busin e ss, p e r son or e nt i ty that is e ng a g e d, or planning or c ontemplating to e ng a ge with i n a p e riod of tw e lve (12) mon t hs, in a ny busin e ss ac t i vi t y that is c ompeti t ive with the bu s iness a nd busin e ss ac t i v i t i e s e ng a g e d in by the Cov e r e d Unit(s).
(2) “Confi d e n tial I n fo r m atio n” me a ns c onfid e nt i a l, prop r iet a ry o r tr a de s ec r e t info r mation, wh e ther or not ma r k e d o r othe r wi s e d e signa t e d a s c onfid e nt i a l, wh e th e r in do c ument, e le c tronic or other fo r m, a nd includ e s, but is n o t l i m i t e d to, i nfo r mation that is n o t publ i c ly known r e g a rd i ng fin a n ce s, busin e ss a nd ma r k e t i ng plans, prop o s a ls, proj ec t i ons, fo re c a st s, e xis t ing a nd p rosp ec t i ve c usto m e rs, v e ndor identi t ies, e mp l oy e e s a nd c ompens a t i on, dr a wings, manu a ls, inventions, p a tent a ppl i ca t i o n s, pro c e ss a nd f a br i c a t i on info r mation, r e s ea rch plans a nd r e sul t s, c omp u ter prog r a ms, d a ta b a s e s, softw a re flow c h a rts, s p ec ifi ca t i ons, t e c hnic a l
a, s c ientific a n d te c hn i ca l i nfo r mation, t e st r e su l ts and m a rk e t s t udies.
and any subsidiary.
(3) “Co mp a ny” me a ns, a nd sh a ll be d ee med to includ e, the Company
(4) “Cov e r e d Un i t(s)” m e a n s: (i) during the p e riod o f the Employ ee’s e mp l oyment with the C ompany, eac h busin e ss unit of the Company; a nd (ii) following the Employment T e rmin a t i on D a t e, eac h busin e ss un i t of the Company in o r f o r w hich the Employ e e w a s e mp l oy e d or to whi c h the Employ e e provid e d s e rvi ce s or a bout whi c h the Employ e e obtain e d or h a d ac c e ss to Confid e nt i a l I n fo r mation, in e a c h ca se of th i s c l a use (ii) a t a ny t i me with i n the tw e nty-four (2 4)-mon t h p e riod prior to the Employment T e rmin a t i on D a t e. The Employ e e

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ac knowl e d g e s a nd a g r e e s that if the Employ e e is or w a s e mp l oy e d a t a s e gment lev e l, the Employ e e is providing o r h a s provi d e d s e rvi ce s to a nd fo r, a nd h a s ob t a ined a nd h a s or h a d a c ce ss
to Confid e nt i a l I nfo r mat i on a bout, e ac h busin e ss unit of su c h s e g m e nt; a n d if the Employ e e is or w a s e mp l oy e d a t the c o rpo ra te/h e a dqu a r t e rs le v e l, the Employ e e is providing or h a s provid e d s e rvi ce s to a nd fo r, a nd h a s obtain e d a nd h a s or h a d acce ss to Confid e nt i a l In f orm a t i on a bo u t, eac h busin e ss un i t of the Company.
(5) “Custo m er” me a ns, with r e sp ec t to the Compa n y or the C ov e r e d Unit(s), a s the c a se may b e, a ny busin e ss, p e rson or e nt i ty who pur c h a s e d a ny prod uc ts, goods, sys t e ms or s e rvi ce s f r om the Company o r s u c h C ov e r e d Unit(s) a t a ny t i me during t h e p r e c e ding tw e nty-four (24) mon t hs (o r, if a ft e r the Employment T e rmin a t i on D a te, the last tw e nt y-four (2 4) mon t hs of the Employ ee’s e mp l oyment with the Company) a nd e i t h e r with whom the Employ e e d ea lt in the c our s e o f p er fo r m i ng the Employ e e’s job dut i e s for the Comp a ny or a bout whom t h e Employ e e h a s or h a d C o nfid e nt i a l I nfo r mation.
(6) “E mp lo y m e n t T er m i n a tion Da t e” me a ns the d a te of t e rmin a t i on
of the Emp l oy ee’s e mp l oyment with t he Company, volun t a rily or involun t a rily, for a ny r ea so n.
(7) “I nd iv i d u al E m p loyed b y the Co m p a n y” me a ns a ny e mp l oy e e of the Company with whom the Employ e e d ea lt in the c ourse of p e r f o rming the Employ ee’s job dut i e s a t a ny t i me dur i ng the pr e ce ding tw e l v e (12) mon t hs (o r, if a ft e r the Employment T e rmin a t i on D a te, the l a st tw e lve (12) mon t hs of t h e Employ ee’s e mp l oym e nt with the Company).
(8) “Po te n tial Custo m e r” me a ns, with r e sp e c t to the Company or the Cov e r e d Unit(s), a s the ca se may b e, a ny busin e ss, p e rson or e nt i ty ta r g e ted during the pr e ce ding tw e lve (12) months (o r, i f a ft e r the Emp l oyment T e rmin a t i on D a te, the l a st tw e lve (12) months of the Employ ee’s e mp l oyment with the Company) a s a c usto m e r to pur c h a se a ny prod uc ts, goods, sys t e ms or s e rvi ce s f rom the Company or su c h Cov e r e d Unit(s) a nd (i) wi t h whom the Emp l oy e e h a d dir e c t or ind i r e c t c o nta c t, (ii) for whom the Employ e e p a rti c ipat e d i n the d e v e lop m e nt or e x ec ut i on of the plan to s e ll prod uc ts, goods, sys t e ms or s e rvi ce s of the C o mpany or su c h Cov e r e d Unit(s), or (i i i) a bout w h om t he Employ e e othe r w ise h a s or h a d Confid e nt i a l I n fo r mation.
(9) “P r o t ec tive Cov e n a n t P er io d” me a ns the p e riod of the Employ ee’s e mp l oyment with the C ompany a nd t h e tw e l v e (12) mon t h p e riod foll o wing the Employment T e rmin a t i on D a te.
(10) “S ol i c it” a nd “S ol i c i t i ng” me a n a ny dir e c t or ind i r e c t c om m unic a t i on of a ny kind, r e g a rdl e ss of who in i t i a tes i t, that in a ny w a y inv i tes, a dvises, e n c our a g e s or r e q u e sts a n y p e rson to take or r e f r a in f r om taking a ny ac t i ons; provid e d, for purp o s e s of S ec t i on 5(a), the t e r m “S ol i c i t” e x c ludes the pla ce m e nt of g e n e r a l a dv e rtisem e nts inv i t i ng a ppl i ca t i ons for e mp l o y ment that a re not t a rg e t e d to e mp l oy ee s of the C o mpany g e n e r a l l y or a ny sp ec ific e mp l oy e e s of the Company.

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6. R e medi e s for Bre ac h of S ec t i on 5.
(a) F or f e i t ure a nd C la w b a c k. The Employ e e a gr e e s, by acce pta n c e of the A wa rd, that if the Empl o y e e b r e a c h e s a ny p rovision of Se c t i ons 5(a), (b), (c), (d) o r (e), in a ddi t ion to a ny a nd a ll other r em e dies a v a i l a ble to the C o mpany, (i) the A wa rd a n d a ll R e strict e d Units
subj ec t to the A wa rd a nd a ny rights with r e sp ec t to the A wa rd a nd su c h R e st r ict e d Units sh a ll upon w r i t ten not i c e (w hich m a y be in e le c tronic fo r m) i m medi a tely be fo r f e i t e d a nd te r m i n a te a nd be ca n c e l l e d; a nd (ii) the Company sh a ll h a ve t h e right upon w ritten n o t i c e (w hich may be in e le c tronic fo r m) to r e c l a im a nd r e ce ive f r om the Employ e e a ll S h a r e s a nd ca sh, a s a ppl i ca ble, is s u e d or p a id to the E m p loyee in r e sp ec t of the R e strict e d Units pursu a nt to S ec t i o n s 1(b) a nd 1(c) a bov e, or to t h e e xtent the Employ e e h a s tr a nsf e r r e d su c h S h a r e s, the Fa i r M a rk e t V a lue th e r e of (a s of the d a te su c h S h a re s w e re tr a n s f e r r e d by the Employ ee) in ca sh a nd a n y su c h r e turn of S h a r e s or p a yment of ca sh by t h e Employ e e whi c h r e qui r e s a c t i on on the p a rt of the Employ e e sh a ll b e made with i n five (5) bus i n e ss days f ol l owing r e ce i pt of w ritten d e mand th e r e fo r e.
(b) F orum. T h e Employ e e a gr e e s, by a c ce pta n c e o f t h e A w a rd, that a ny jud i c ial ac t i on brou g ht with r e sp e c t to the provisions of S e c t i o n s 5 or 6 of these T e r m s a nd Condi t ions may be fil e d in the United S tat e s Distri c t Court for the Middle Distri c t of F lori d a or in the Cir c uit Court of Br e v a rd County, F lor i da a nd h e r e by c ons e nts t o the jurisd i c t i on of su c h c ourts a nd w a ives a ny obje c t i on h e/she m a y n o w or h e r ea ft e r h a v e to su c h v e nu e.
(c) Ch a nge in Contro l. I f a Ch a nge in Control of the Company o cc u r s following the gr a nt d a te of the A wa rd a nd the E mp l oy e e cea s e s th e r e a ft e r to be a n e mp l oy e e of the Company in a c i r c ums t a n c e s e t fo r th in S ec t i o n 3(c) h e r e i n, the provis i ons of S ec t i ons 5 a nd 6 sh a ll i m medi a tely te r m i n a te a nd be o f no f urth e r f or c e a nd e f f ec t.
7. S ec urities L a w R e quir e m e nt s. The Company s h a ll not be r e qui r e d to is s ue S h a r e s pursu a nt to the A w a rd, to the e xtent r e qui r e d, u n le s s a nd unt i l (a) su c h S h a re s h a ve b e e n duly l i sted upon eac h stock e x c h a n g e on whi c h the Compan y’s Com m on S tock is then r e gis t e r e d; a nd (b) a r e gis t r a t i on stat e ment u n d e r the S ec u rities A c t of 193 3, a s a mend e d, with r e sp ec t to su c h S h a r e s is t h e n e f f e c t i v e.
8. Bo a rd Com m i t tee Admin i str a t i o n. The Bo a rd Com m i t tee sh a ll h a ve a uthority, subj ec t to the e xp r e ss pr o vis i ons of the P lan a s in e f fec t f r om t i me to t i me, to c onstrue the s e T e rms a nd Condi t ions a nd the Ag ree m e nt a nd the P l a n, to e stabli s h, a mend a nd r e s c ind rul e s a nd r e gulations r e lating to the P lan, a nd to make a ll ot h e r d e te r m i n a t i ons in the judg m e nt of the Bo a rd Com m i t tee n ece ssa r y or d e sir a ble for the a dm i nis t r a t i on of the P lan. The Bo a rd Com m i t tee may c or r e c t a ny d e f ec t or s u pply a ny om i ss i on or r e c on c i l e a ny inconsis t e n c y in these T e rms a nd Condi t ions a nd the Ag re e ment in the mann e r a nd t o the e xtent it sh a ll d ee m e xp e dient to ca r ry the P lan into e f f e c t, and it s h a ll be the sole a nd fi n a l j udge of su c h e x p e dien c y.
9. I n c orpo r a t i on of P lan P r o v i sion s. Th e se T e rms a n d Condi t ions a nd the Ag r ee ment a re m a de p u rsu a nt to t h e P lan, the provisions o f whi c h a r e h e r e by i n c o rpo ra ted by r e fer e n c e. C a pi t a l i ze d te r ms not o t h e r w ise d e fin e d h e r e in sh a ll h a ve the m ea nings s e t f orth f or su c h te r ms i n

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the P lan. I n t h e e v e nt o f a c onfli c t b e tw ee n t h e te r ms of these T e rms a n d Condi t ions a nd the Ag ree ment a nd the P l a n, the t e rms of the P l a n sh a l l gove r n.
10. Comp l ian c e with S ec t i o n 409A of the Cod e. T he Ag r ee ment a nd the P lan a r e in t e nd e d to be e x e mpt fr om the provisions of S e c t i on 409A of the Code to the maximum e xtent p e rmit t e d by a ppl i ca ble la w. To the e xtent a ppl i ca ble, it is in t e nd e d that t he Ag ree ment a nd the P lan c omp l y with the p rovisions of S ec t i on 40 9 A of the Cod e, so that the income inclusion
provisions of S ec t i on 4 0 9A(a)(1) of the Code do not a pply to t he Employ e e. The Ag ree ment a nd the P lan sh a ll be a dm i n i ste re d a nd in t e rp r e ted in a mann e r c onsistent with th i s in t e nt, a nd a ny provision that would ca u se the Ag r ee ment o r the P lan to f a il to s a t i sfy S e c t i on 409A of the Code sh a ll h a ve no fo rc e a nd e f f e c t unt i l a mend e d to c omp l y with S ec t i on 40 9 A of the Code (w hich a mendm e nt may be r e tr o ac t i ve to the e xtent p e r m i t ted by S ec t i on 409A of the Code a nd may be made by the Company w i t hout the c ons e nt of the Employ ee). I f t h e A w a r d is subj ec t to S ec t i on
409A of the Cod e, a r e t i r e ment or t e rmin a t i on of e mp l oyment sh a ll not be d ee m e d to o c c ur f o r purp o s e s of a ny provisi o n of the A g r e e ment p ro v id i ng for the p a yment o f a ny a moun t s upon or following r e t i r e ment or t e rmin a t i on of e mp l oym e nt unless su c h r e t i r e ment or te r m i n a t i on is a lso a “s e p a r a t i on f r om s e rvi c e” with i n the me a ning of S ec t i on 409A of the Cod e, a nd for purp o s e s o f a ny su c h provision in the Ag ree ment, r e fer e n c e s to a “te r m i n a t i on,” “te r m i n a t i on of e mp l oyment,” “r e t i r e,” “r e t ir e ment” or l i ke te r ms sh a ll me a n “s e p a r a t i on f r om s e rv i ce.” Payments to an Employee who is Full Retirement Eligible are intended to comply with Treasury Regulation §1.409A-3(c). Notwithstanding a nyth i ng in the Ag r e e m e nt to the c ontr a ry, if t h e A wa rd is subj ec t to S ec t i on 409A of the C od e, a nd if t h e Employ e e is a “S p ec ifi e d Employ e e” (with i n the me a ning of t h e Company’s S p e c ifi e d Employ e e P ol i c y for 40 9 A A r r a ng e ments) a s of t he d a te the Employ e e ce a s e s to be a n e mp l oy e e of the Company, then s u c h p a yout sh a ll be d e la y e d unt i l a nd made d uri n g the s e v e nth ca lend a r mon t h following the ca l e nd a r month during wh i c h the E mp l oy e e c e a s e d to be a n e mp l oy e e o f the Company (o r, if ea rli e r, the ca lend a r mon t h follo w ing the ca lend a r mon t h of the Employ ee’s d ea th) to t he e xtent re quir e d by S ec t i on 409A of the Cod e. Notwithstanding the f or e going, no pa r t i c ular tax r e sult for the Emplo y e e with r e sp e c t to a ny in c ome re c ogniz e d by the E mp l oy e e in c on n ec t i on with the Ag ree ment is g u a r a nt e e d, a nd the Employ e e solely sh a ll be r e spons i ble for a ny tax e s, p e n a l t ies or in t e r e st i m pos e d on the Employ e e in c onn ec t i on with the Ag r ee ment. R e fer e n c e to S ec t i on 409A of the Co d e will a lso include a ny p ropos e d, tempo ra ry or f i n a l r e gulations, or a ny other guidan ce, p romulgat e d with r e sp e c t t o su c h S ec t i on by the U.S. D e p a rtm e nt of the T r e a s u ry or the I nte r n a l R e v e nue S e rvi ce.
11. D a ta P riv ac y; El e c tronic D e l i v e r y. By a c ce pta n c e of the A w a rd, t h e E mp l oy e e ac knowl e d g e s a nd a g r e e s that: (a) d a ta, includi n g the Employ ee’s p e rs o n a l d a t a, n e c e ssa r y to a dm i nis t e r the Ag ree m e nt may be e x c h a ng e d a mong the Company a nd i t s S ubsi d ia r ies a nd a f f i l iat e s a s n ece s s a ry, a n d with a ny v e ndor e ng a g e d by the Company to a ss i st in the a dm i nis t r a t i on of e qui t y a w a rds; a nd (b) unless a nd unt i l r e vok e d in w r i t ing by the Emp l oy ee, info r mation a nd m a te r ials in c on n ec t i on with the Ag r ee ment o r a ny a w a rds un d e r t h e P lan, including, but not l i m i ted to, a ny prosp ec t u s e s a nd plan do c ument, may be provi d e d by m e a ns of e l e c tronic d e l i v e ry (in c lud i ng by e-mail, by w e b si t e a c ce ss and/or by f a c si m i l e).
12. Mi s ce l l a n e ou s. Th e se T e rms a nd Condi t ions a nd the other portions of the Ag ree ment: (a) sh a ll be bind i ng upon a nd inure t o the b e n e fit of a ny su cce ssor of the Company;

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(b) sh a ll be gov e r n e d by the la w s o f the S tate of D e la w a re a nd a ny a ppl ic a ble la w s of the Unit e d S tat e s; and (c) e x c e pt as p e rmit t e d und e r S e c t i ons 3.2, 12 a nd 13.6 o f the P lan a nd S ec t i ons 8 a nd
10 of these T e rms a nd C ondi t ion s, may not be a m e nd e d in a mann e r th a t w ould mat e ri a l l y i m p a ir the rights of the Employ e e without the w ritten c o ns e nt of both the Comp a ny a nd the Employ e e. The Ag ree m e nt sh a ll n o t in a ny w a y in t e r fe re with or l i m it the right o f the Company or a ny S ubsidia r y to te r m i n a te the Employ ee’s e mp l oyment or s e rvi c e with the Company or a ny S ubsidia r y a t a ny t i me, a nd no c ontr ac t o r right o f e mp l oyment sh a ll be i mp l ied by these T e rms a nd Condi t ions a nd the Ag ree ment of whi c h th e y fo r m a p a rt. F or purp o s e s of these T e rms a nd Condi t ions and the Ag r e e ment, (i) e m ploy m e nt by t he Company or a ny S u bsid i a ry or a su c c e ssor
to t he Company sh a ll be c onsid e r e d e mp l oyment by the Company; (ii) the c los i ng of a divestiture or other s a le of a s s e ts or a busin e ss of the Company or a ny S ubsidia r y (r e g a rdl e ss of tr a n s ac t i on stru c tur e) t h a t r e sul t s in the Employ e e no lon g e r b e ing e mp l oy e d by t he Company or a ny S ubsidia r y sh a l l, for purp o s e s of S ec t i on 3(a)(i i)(B) a nd S ec t i on 3(c)(i) of these T e rms a nd Condi t ions, be tr ea ted a s a n invo l unta r y te r m i n a t i on of e mp l oyment of the Employ e e by the Company other than for C a use (f or a voidan c e of doubt, e v e n if the Employ e e r e t a ins the s a me e mp l oyment posit i on wi t h the ac quir e r following su c h c los i ng); a nd (iii) r e f e r e n c e s to “te r m i n a t i on of e mp l oyment,” “ce ssat i on of e mp l oyment,” “c ea s e s to be e mp l oy e d,” “ce a s e s to be a n e mp l oy e e” or si m i l a r phr a s e s sh a ll be d e e med to h a v e o c c ur re d a s of the last d a y ac tually w o rk e d (a s d e te r m i n e d by the Com p a n y), a nd s h a ll not include a ny not i c e p e riod or a ny p e riod of s e v e r a n c e or s e p a r a t i on p a y or p a y c ont i nu a t i on (w h e th e r re quir e d by law or c ustom or othe r wise provid e d) following the last d a y ac tually wo r k e d, to the e xtent c onsistent with the a ppl i ca ble r e quir e m e nts of S ec t i on 409A of t he Code; provid e d, how e v e r, that if the Company te r m i n a tes the Employ ee’s e mp l oyment a s a r e sult of the Employ e e’s Di s a b i l i t y or a s a r e sult of the Employ ee’s f a i l ure to r e turn to wo r k wh e n the Employ e e do e s not h a v e, or no longer h a s, a Dis a bi l i t y, then t he last d a y ac tually wo r k e d sh a ll m e a n the d a y of s u c h te r m i n a t i o n, to the e xtent c onsistent with the a ppl i ca b l e r e quir e ments o f S ec t i on 409A of the Cod e. I f the A wa rd is a ssu m e d o r a n e w a w a rd is subs t i t uted the re for in a ny c orp o r a te r e org a n i za t i on (in c l udin g, but not l i m i ted to, a ny t r a ns ac t i on o f the type r e fer re d to in Se c t i on 424(a) o f the Cod e), e mp l oyment by su c h a s s um i ng or subs t i t ut i ng c orpo ra t i on o r by a p a r e n t c orpo r a t i on or subs i dia r y the re o f sh a ll b e c onsid e r e d f o r a ll purp o s e s o f the A w a rd to b e e mp l oyment by the Company.

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