Contract
Exhibit 10.1
Restricted Stock Units
This 2008 Employee Restricted Stock Unit Agreement (this “Agreement”) is between
Oceaneering international, inc. (the “Company”) and (the “Participant”), an employee of
the Company or one of its Subsidiaries, regarding an award (“Award”) of units (“Restricted Stock
Units”) representing shares of Common Stock (as defined in the 2005 Incentive plan of
oceaneering international, inc. (the “Plan”), awarded to the Participant effective February
22, 2008 (the “Award Date”), such number of Restricted Stock Units subject to adjustment as
provided in Section 15 of the Plan, and further subject to the following terms and conditions:
(a) All Restricted Stock Units subject to this Award shall vest in full on the
third anniversary of the Award Date, provided the Participant is in Employment on such
anniversary.
(b) Restricted Stock Units subject to this Award shall vest, irrespective of the
provisions set forth in subparagraph (a) above, provided that the Participant has been in
continuous Employment from the Award Date until the December 15th following the later of (i)
the Award Date, and (ii) his attainment of Retirement Age, in the following amounts provided
the Participant is in Employment on the applicable December 15th:
(i) if such December 15th occurs within one year following the Award
Date, on such December 15th, one-third of the Award shall be thereupon
vested and an additional one-third of the Award shall vest on each of the
two subsequent anniversaries of such December 15th;
(ii) if such December 15th occurs between one and two years following
the Award Date, on such December 15th, two-thirds of the Award shall
thereupon be vested and an additional one-third of the Award shall vest on
the subsequent anniversary of such December 15th; and
(iii) if such December 15th occurs between two and three years
following the Award Date, on such December 15th, the entire Award shall
thereupon be vested.
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(c) All Restricted Stock Units (and any substitute security and cash component
distributed in connection with a Change of Control) subject to this Award shall vest in
full, irrespective of the provisions set forth in subparagraphs (a) or (b) above, provided
that the Participant has been in continuous Employment since the Award Date, upon the
earliest to occur of:
(i) the date that the Company or any successor to the Company
terminates the Participant’s Employment for any reason on or after a Change
of Control; or
(ii) the date that the Participant’s aggregate value of total annual
compensation (including salary, bonuses, long and short-term incentives,
deferred compensation and award of stock options, as well as all other
benefits in force on the date immediately prior to a Change of Control) is
reduced to a value that is ninety-five percent (95%) or less of the value
thereof on the date immediately prior to the Change of Control, or the
Participant’s scope of work responsibility is materially reduced from that
existing on the date immediately prior to the Change of Control, or the
Participant is requested to relocate more than 25 miles from his place of
Employment with the Company on the date immediately prior to the Change of
Control, in each case, on or after a Change of Control; or
(iii) the Participant’s termination of Employment by reason of
Disability or death.
(d) For purposes of this Agreement:
(i) “Change of Control” means:
(A) any Person is or becomes the “beneficial owner” (as defined in Rule
13d-3 under the Securities Exchange Act of 1934, as amended and the rules
and regulations promulgated thereunder), directly or indirectly, of
securities of the Company representing 20% or more of the combined voting
power of the Company’s outstanding Voting Securities, other than through the
purchase of Voting Securities directly from the Company through a private
placement; or
(B) individuals who constitute the Board on the date hereof (the
“Incumbent Board”) cease for any reason to constitute at least a majority
thereof, provided that any person becoming a Director subsequent to the date
hereof whose election, or nomination for election by the Company’s
shareholders, was approved by a vote of at least two-thirds of the Directors
comprising the Incumbent Board shall from and after such election be deemed
to be a member of the Incumbent Board; or
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(C)
the Company is merged or consolidated with another corporation or
entity and as a result of such merger or consolidation less than 60% of the
outstanding Voting Securities of the surviving or resulting corporation or
entity shall then be owned by the former shareholders of the Company; or
(D) a tender offer or exchange offer is made and consummated by a
Person other than the Company for the ownership of 20% or more of the Voting
Securities of the Company then outstanding; or
(E) all or substantially all of the assets of the Company are sold or
transferred to a Person as to which:
(1) the Incumbent Board does not have authority (whether by law
or contract) to directly control the use or further disposition of
such assets; and
(2) the financial results of the Company and such Person are not
consolidated for financial reporting purposes.
(F) Anything else in this definition to the contrary notwithstanding:
(1) no Change of Control shall be deemed to have occurred by
virtue of any transaction which results in the Participant, or a
group of Persons which includes the Participant, acquiring more than
20% of either the combined voting power of the Company’s outstanding
Voting Securities or the Voting Securities of any other corporation
or entity which acquires all or substantially all of the assets of
the Company, whether by way of merger, consolidation, sale of such
assets or otherwise; and
(2) no Change of Control shall be deemed to have occurred unless
such event constitutes an event specified in Code Section
409A(2)(A)(v) and the Treasury regulations promulgated thereunder.
(ii) “Disability” means the Participant is unable to engage in any
substantial gainful activity by reason of any medically determinable
physical or mental impairment which can be expected to result in death or
can be expected to last for a continuous period of not less than 12 months.
The Participant’s inability and its anticipated duration shall be determined
solely by a medical physician of the Participant’s choice to be approved by
the Company, which approval shall not be unreasonably withheld.
(iii) “Employment” means employment with the Company or any of its
Subsidiaries.
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(iv) “Person” means, any individual, corporation, partnership, group,
association or other “person,” as such term is used in Sections 13(d) and
14(d) of the Securities Exchange Act of 1934, as amended, and the related
rules and regulations promulgated thereunder.
(v) “Retirement Age” means the earlier to occur of:
(A) age 65 or more, or
(B) age 60 or more with at least 15 years of continuous Employment,
provided that the Participant has remained in Employment until the earlier
to occur of (A) or (B).
(vi) “Voting Securities” means, with respect to any corporation or
other business enterprise, those securities, which under ordinary
circumstances are entitled to vote for the election of directors or others
charged with comparable duties under applicable law.
(a) Third Anniversary; Termination After Disability or Death; Actual or Constructive
Termination by Company After Change of Control. Settlement of vested Restricted Stock Units
that vest in accordance with Subparagraph 2(a) or 2(c) shall be made as soon as
administratively practicable after vesting, but in no case later than the
March 15th following the year in which vesting occurs. Settlement will be made by
payment in shares of Common Stock.
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(b) Termination After Attainment of Retirement Age. Settlement of vested Restricted Stock
Units that vest in accordance with Subparagraph 2(b) to a Participant who terminates
Employment after attainment of his Retirement Age (whether or not there has been a Change of
Control) shall be made as soon as administratively practicable after termination, but in no
case later than the March 15th following the year in which termination occurs. Settlement
will be made by payment in shares of Common Stock.
(c) Attainment of Retirement Age Without Termination. Settlement of vested Restricted
Stock Units that vest in accordance with Subparagraph 2(b) to a Participant who continues
employment through the third anniversary of the Award Date shall be made as soon as
administratively practicable after the Restricted Stock Units would have otherwise vested by
reason of Subparagraphs 2(a) or 2(c), but in no event after the later of (i) the 15th day of
the third calendar month following the applicable date in Subparagraph 2(a) or 2(c), or (ii)
the end of the calendar year in which the applicable date in Subparagraph 2(a) or 2(c)
occurred. Settlement will be made by payment in shares of Common Stock.
The Company shall not be obligated to deliver any shares of Common Stock if counsel to the
Company determines that such sale or delivery would violate any applicable law or any rule or
regulation of any governmental authority or any rule or regulation of, or agreement of the Company
with, any securities exchange or association upon which the Common Stock is listed or quoted. The
Company shall in no event be obligated to take any affirmative action in order to cause the
delivery of shares of Common Stock to comply with any such law, rule, regulation or agreement.
Notwithstanding the foregoing, in the event that the address of the Company’s principal
executive offices is changed prior to the date of any exercise of this Award, notices shall instead
be made pursuant to the foregoing provisions at the then current address of the Company’s principal
executive offices.
Any notice or other communication to the Participant with respect to this Agreement or the
Plan shall be given in writing and shall be deemed effectively delivered or given upon receipt or,
in the case of notices mailed by the Company to the Participant, five days after deposit in the
United States mail, postage prepaid, addressed to the Participant at the address specified at the
end of this Agreement or at such other address as the Participant hereafter designates by written
notice to the Company.
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The Participant may designate a beneficiary or beneficiaries (the “Beneficiary”) to whom the
Award under this Agreement, if any, will pass upon the Participant’s death and may change such
designation from time to time by filing with the Company a written designation of Beneficiary on
the form attached hereto as Exhibit A, or such other form as may be prescribed by the Committee;
provided that no such designation shall be effective unless so filed prior to the death of the
Participant and no such designation shall be effective as of a date prior to receipt by the
Company. The Participant may change his Beneficiary without the consent of any prior Beneficiary
by filing a new designation with the Company. The last such designation that the Company receives
in accordance with the foregoing provisions will be controlling. Following the Participant’s
death, the Award, if any, will pass to the designated Beneficiary and such person will be deemed
the Participant for purposes of any applicable provisions of this Agreement. If no such
designation is made or if the designated Beneficiary does not survive the Participant’s death, the
Award shall pass by will or, if none, then by the laws of descent and distribution.
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15. Governing Law. This Agreement shall be governed by, construed, and enforced in accordance
with the laws of the State of Texas, excluding any choice of law provision thereof that would
result in the application of the laws of any other jurisdiction.
OCEANEERING INTERNATIONAL, INC. |
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Award Date: February 22, 2008 | By: | |||
Xxxxxx X. Xxxxxxxxxxx, Xx. | ||||
Senior Vice President, General Counsel and Secretary | ||||
The Participant hereby accepts the foregoing 2008 Employee Restricted Stock Unit Agreement,
subject to the terms and provisions of the Plan and administrative interpretations thereof referred
to above.
PARTICIPANT: | ||||||||
Date: |
||||||||
Participant’s Address: | ||||||||
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Exhibit A to 2008 Employee
Restricted Stock Unit Agreement
Restricted Stock Unit Agreement
Designation of Beneficiary
I,
(“Participant”), hereby declare that upon my death,
(the “Beneficiary”) of
(address), who is my
(relationship), will be entitled to the Award which may become payable
under the Plan and all other rights accorded the Participant under the Participant’s 2008 Employee
Restricted Stock Unit Agreement (capitalized terms used but not defined herein have the respective
meanings assigned to them in such agreement).
It is understood that this designation of Beneficiary is made pursuant to the Agreement and is
subject to the conditions stated therein, including the Beneficiary’s survival of Participant. If
any such condition is not satisfied, such rights shall devolve according to the Participant’s last
will and testament, or if none, then the laws of descent and distribution.
It is further understood that all prior designations of beneficiary under the Agreement are
hereby revoked upon the filing of this designation with the Company. This designation of
Beneficiary may only be revoked in writing, signed by the Participant, and filed with the Corporate
Secretary of the Company prior to the Participant’s death.
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