Form of Award Agreement (Non-Qualified Stock Option)
Exhibit 10.5
Form of Award Agreement
(Non-Qualified Stock Option)
(Non-Qualified Stock Option)
Name of employee:
|
(Employee name) | |
Name of plan:
|
1997 Stock Incentive Plan, as amended | |
Date of option grant:
|
(Grant date) | |
Number of option shares:
|
x,xxx | |
Option price per share:
|
$xx.xx | |
Vesting schedule:
|
xxx shares xx/xx/20xx | |
| xxx shares xx/xx/20xx | ||
| xxx shares xx/xx/20xx | ||
Expiration date:
|
xx/xx/20xx |
Arch Coal, Inc. (“Arch Coal”) hereby confirms this grant of a non-qualified stock option to
purchase shares of Arch Coal, Inc. common stock (the “Option”) to the above-named employee
(“Employee”). The terms of this Award Agreement and the 1997 Stock Incentive Plan, as amended (the
“Plan”), shall govern the Option all respects. Capitalized terms used in this Award Agreement but
not otherwise defined herein shall have the meanings assigned to them in the Plan.
Subject to the terms of the Plan, the Option granted hereunder shall vest and become
exercisable based on the vesting schedule described above. In addition, the Option can become
exercisable upon the occurrence of other events as specified in the Plan. Notwithstanding the
foregoing and notwithstanding anything contained in the Plan to the contrary, if the Employee’s
Date of Termination occurs on or after the date on which the Employee attains age 58, the Employee
has five years of continuous service with Arch Coal immediately prior
to the Date of Termination and the Employee has not been terminated for
Cause, then the Option shall continue to vest and become exercisable in accordance with the vesting
schedule described above, and the Option shall remain exercisable for the lesser of (i) a period of
five years from the Employee’s Date of Termination or (ii) the remaining term of the Option and
thereafter shall be forfeited if not exercised.
Nothing in the Plan or this Award Agreement should confer on any Employee any right to
continue in the employment of Arch Coal or interfere in any way with the right of Arch Coal to
terminate Employee’s employment at any time.
This Award Agreement shall not be valid unless signed by the Employee and returned to the
Human Resources Department.
| Arch Coal, Inc. |
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| Xxxxxx X. Xxxxxxx Vice President – Human Resources |
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I hereby accept the Option granted above under the terms and conditions of the Plan and this
Award Agreement. I also acknowledge that I have received a copy of the Plan.
Date:
|
Employee: |
