Common use of Deductions and Certain Taxes Related to Stock Options Clause in Contracts

Deductions and Certain Taxes Related to Stock Options. (a) Delta Woodside shall claim the Federal Tax deductions and any State Tax deductions attributable to the exercise, following the Distribution Date, of options to purchase the stock of Delta Woodside that are held by a person who is at the time the deduction is claimed (or, in the case of a person who is no longer employed by a member of the Delta Woodside Tax Group, a member of the Delta Apparel Tax Group or a member of the Duck Head Tax Group at the time the deduction is claimed, who before or after the Distribution was) an employee of a member of the Delta Woodside Tax Group. (b) Delta Woodside shall claim the Federal Tax deductions and any State Tax deductions attributable to the exercise, following the Distribution Date, of options to purchase the stock of Delta Woodside that are held by a person who is at the time the deduction is claimed (or, in the case of a person who is no longer employed by a member of the Delta Woodside Tax Group, a member of the Delta Apparel Tax Group or a member of the Duck Head Tax Group at the time the deduction is claimed, who before or after the Distribution was) an employee of a member of the Delta Apparel Tax Group or the Duck Head Tax Group. (c) The employer of the person who exercises stock options (or, if such person is not employed by a member of the Delta Woodside Tax Group, a member of the Delta Apparel Tax Group or a member of the Duck Head Tax Group, the company among the members of the Delta Woodside Tax Group, the members of the Delta Apparel Tax Group and the members of the Duck Head Tax Group that employed such person immediately before such individual ceased such employment) shall timely pay the applicable Federal Employment Tax or any state employment tax in connection with such exercise.

Deductions and Certain Taxes Related to Stock Options. (a) Delta Woodside Holdings shall claim the Federal Tax deductions and any Combined State Tax deductions attributable to the exercise, following the Distribution Datedate of the Internal Distribution, of options to purchase the stock of Delta Woodside Holdings, of Nabisco or of RJRN or the vesting of restricted stock of Holdings, of Nabisco or of RJRN, in each case that are held by a person who is at the time the deduction is claimed (or, in the case of a person who is no longer employed by a member any of the Delta Woodside Tax GroupHoldings, a member of the Delta Apparel RJRN Tax Group or a member of the Duck Head Nabisco Tax Group at the time the deduction is claimed, who immediately before or after the Internal Distribution was) an employee of a member Holdings; provided that, notwithstanding anything in this Section 6.02 to the contrary, if the person holding options or restricted stock has been an employee of Holdings at any time after the Delta Woodside Internal Distribution, Holdings shall claim the relevant Federal Tax Groupand Combined State Tax deductions. (b) Delta Woodside Any member of the Nabisco Tax Group shall claim the Federal Tax deductions and any Combined State Tax deductions attributable to the exercise, following the Distribution Datedate of the Internal Distribution, of options to purchase the stock of Delta Woodside Holdings, of Nabisco or of RJRN or the vesting of restricted stock of Holdings, of Nabisco or of RJRN, in each case that are held by a person who is at the time the deduction is claimed (or, in the case of a person who is no longer employed by a member any of the Delta Woodside Tax GroupHoldings, a member of the Delta Apparel RJRN Tax Group or a member of the Duck Head Nabisco Tax Group at the time the deduction is claimed, who immediately before or after the Internal Distribution was) an employee of a such member of the Delta Apparel Tax Group or the Duck Head Nabisco Tax Group. (c) Any member of the RJRN Tax Group shall claim the Federal Tax deductions and any Combined State Tax deductions attributable to the exercise, following the date of the Internal Distribution, of options to purchase the stock of Holdings, of Nabisco or of RJRN or the vesting of restricted stock of Holdings, of Nabisco or of RJRN, in each case that are held by a person who is at the time the deduction is claimed (or, in the case of a person who is no longer employed by any of Holdings, a member of the RJRN Tax Group or a member of the Nabisco Tax Group at the time the deduction is claimed, who immediately before the Internal Distribution was) an employee of such member of the RJRN Tax Group. (d) The employer of the person who exercises stock options or with respect to whom unrestricted stock vests (or, if such person is not employed by a member any of the Delta Woodside Tax GroupHoldings, a member of the Delta Apparel RJRN Tax Group or a member of the Duck Head Nabisco Tax Group, the company among the members of the Delta Woodside Tax GroupHoldings, the members of the Delta Apparel Nabisco Tax Group and the members of the Duck Head RJRN Tax Group that employed such person immediately before such individual ceased such employmentthe Internal Distribution) shall timely pay the applicable Federal Employment Tax or any state employment tax in connection with such exerciseexercise or vesting.