Common use of Incentive Interests Clause in Contracts

Incentive Interests. (a) The following Incentive Units are hereby created and are hereby granted to the Persons and in the respective amounts set forth on Exhibit A, subject to the adjustments provided for in this Section 3.4: (i) 1,000,000 “Tier I Units,” of which a certain number of such Tier I Units may be granted to Employees after the date of this Agreement pursuant to this Section 3.4 (the “Tier I Subsequent Units”); and (ii) 1,000,000 “Tier II Units,” of which a certain number of such Tier II Units may be granted to Employees after the date of this Agreement pursuant to this Section 3.4 (the “Tier II Subsequent Units”). To the extent not so granted, the remaining Incentive Units are available for future grants by the Board to Employees in accordance with the terms of this Agreement. The Company and each Member intend to treat any interest attributable to a holder of Incentive Units as a separate “profits interest” within the meaning of Rev. Proc. 93-27, 1993-2 C.B. 343. In accordance with Rev. Proc. 2001-43, 2001-2 C.B. 191, the Company shall treat a holder of such Incentive Units

Incentive Interests. (a) The following Incentive Units are hereby created and are hereby granted to the Persons and in the respective amounts set forth on Exhibit A, subject to the adjustments provided for in this Section 3.4: (i) 1,000,000 “Tier I Units,” of which a certain number of such Tier I Units may be granted to Employees after the date of this Agreement pursuant to this Section 3.4 (the “Tier I Subsequent Units”); and (ii) 1,000,000 “Tier II Units,” of which a certain number of such Tier II Units may be granted to Employees after the date of this Agreement pursuant to this Section 3.4 (the “Tier II Subsequent Units”). To the extent not so granted, the remaining Incentive Units are available for future grants by the Board to Employees in accordance with the terms of this Agreement. The Company and each Member intend to treat any interest attributable to a holder of Incentive Units as a separate “profits interest” within the meaning of Rev. Proc. 93-27, 1993-2 C.B. 343. In accordance with Rev. Proc. 2001-43, 2001-2 C.B. 191, the Company shall treat a holder of such Incentive Units as the owner of such profits interest from the date it is granted, and shall file its IRS Form 1065, and issue an appropriate Schedule K-1 to such holder of Incentive Units, allocating to such