ROGERS CORPORATION DIRECTOR DEFERRED STOCK UNIT AWARD AGREEMENT UNDER THE ROGERS CORPORATION 2019 LONG-TERM EQUITY COMPENSATION PLAN
Exhibit 10.20
XXXXXX CORPORATION
DIRECTOR DEFERRED STOCK UNIT AWARD AGREEMENT UNDER THE XXXXXX CORPORATION 2019 LONG-TERM EQUITY COMPENSATION PLAN
Name of Grantee: | [Name] |
Number of Shares Subject to DSUs: | [Shares] |
Grant Date | May [●], 20__ |
This Deferred Stock Unit Award Agreement (the “Agreement”) is between Xxxxxx Corporation (the “Company”), and the Grantee named above, as a non-management director of the Company.
The Company wishes to award to the Grantee a number of Deferred Stock Units (“DSUs” or the “Award”) which represent the right to receive shares of the Company’s common stock, par value $1.00 per share (“Stock”), subject to the terms of this Agreement, under Section 9.1 of the Company’s 2019 Long-Term Equity Compensation Plan, as amended (as it may be further amended from time to time, the “Plan”). Capitalized terms used but not defined herein shall have the meanings set forth in the Plan.
Accordingly, for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the Company and the Grantee hereby agree as follows:
1. | Issuance of Common Stock. |
The Company shall issue to the Grantee (or Grantee’s beneficiary or estate) the full number of shares of Stock subject to the DSUs as soon as administratively practicable after the earlier of (a) the Grantee’s death or Disability (as defined below), (b) [month] [●], 20__ (i.e., the 13th month anniversary of the Grant Date), (c) the Grantee’s “separation from service” (within the meaning of Section 409A of the Code) from the Company or (d) a Change in Control. In lieu of receiving such shares on the date set forth in (b) above, the Grantee may elect to defer the issuance of shares of Stock payable with respect to the DSUs for at least an additional five years (i.e., to at least [month] [●], 20__). Any such election must be made not later than [month] [●], 20__ pursuant to a payment election form provided by the Company. A Grantee who submits an election form will have no right to accelerate or further defer a deferred distribution of Stock deliverable upon the settlement of the DSUs.
2. | Dividend Equivalent Right. |
Subject to the restrictions, limitations and conditions as described in the Plan, the Company also grants to the Grantee a dividend equivalent right (under Section 8.2 of the Plan) with respect to the shares of Stock underlying the DSUs. Any dividend equivalents credited with respect to shares of Stock underlying the DSUs shall be paid in cash (without interest) at
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Exhibit 10.20
the same time as the underlying shares of Stock to which the dividend equivalents relate are distributed to the Grantee under Paragraph 1 above.
3. | Taxes. |
The Grantee is personally responsible for the proper reporting and payment of all taxes related to shares of Stock distributed with respect to DSUs and the dividend equivalent right.
4. | Death; Disability. |
Any Shares that are issued to the Grantee on account of the Grantee’s death shall be issued to the beneficiary most recently designated by the Grantee and communicated in writing to the Company, or, if the Grantee has not designated a beneficiary, to the Grantee’s estate.
For purposes of this Agreement, “Disability” means the Grantee is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months.
5. | Change in Control. |
No shares of Stock shall be issuable to the Grantee upon a Change in Control unless such Change in Control is also a “change in the ownership or effective control of the corporation or in the ownership of a substantial portion of the assets of the corporation” within the meaning of Section 409A of the Code.
6. | Conformity with the Plan. |
This Award is intended to conform in all respects with, and is subject to, all applicable provisions of the Plan. The DSUs granted under this Agreement constitute a form of Restricted Stock Unit under Article 8 of the Plan. Any conflicts or inconsistencies between this Award and the Plan shall be resolved in accordance with the terms of the Plan. The Grantee agrees to be bound by all of the terms of this Award and the Plan.
7. | Rights as a Shareholder. |
Except for the right to receive dividend equivalents as set forth in Paragraph 2 of this Agreement, the Grantee shall have no rights as a shareholder of the Company with respect to any DSUs covered by this Award until such time as shares of Stock in respect of such DSUs are issued to the Grantee.
8. | Section 409A. |
It is intended that this Award will comply with the requirements of Section 409A of the Code. To the maximum extent permitted, this Agreement shall be limited, construed and
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Exhibit 10.20
interpreted in accordance with such intent. This Paragraph 8 does not create an obligation on the part of the Company to modify the Plan or this Agreement and does not guarantee that the DSUs or the shares of Stock delivered hereunder will not be subject to taxes, interest and penalties under Section 409A of the Code. The Grantee shall be responsible for all of the Grantee’s federal, state and local taxes (and any related liabilities).
9. | Restrictions on Transfer. |
Notwithstanding anything to the contrary in this Agreement, the DSUs may not be sold, assigned, transferred, pledged, or otherwise encumbered by the Grantee. No transfer by will or the applicable laws of descent and distribution of any shares of Stock which are payable to the Grantee upon settlement of the DSUs by reason of the Grantee’s death shall be effective to bind the Company unless the Committee shall have been furnished with written notice of such transfer and a copy of the will or such other evidence as the Committee may deem necessary to establish the validity of the transfer.
10. | Securities Matters. |
The Company shall not be required to issue or deliver any shares of Stock under this Award until the requirements of any federal or state securities or other laws, rules or regulations (including the rules of any securities exchange) as may be determined by the Company to be applicable are satisfied. The Grantee acknowledges that the Plan is intended to conform to the extent necessary with all provisions of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, and any and all regulations and rules promulgated by the Securities and Exchange Commission thereunder, and state securities laws and regulations. Notwithstanding anything herein to the contrary, the Plan shall be administered, and the DSUs are granted, only in such a manner as to conform to such laws, rules and regulations. To the extent permitted by applicable law, the Plan and this Agreement shall be deemed amended to the extent necessary to conform to such laws, rules and regulations.
11. | Entire Agreement. |
This Award constitutes the entire agreement between the parties relative to the subject matter hereof, and supersedes all proposals, written or oral, and all other communications between the parties relating to the subject matter of this Award.
12. | Amendment. |
This Award may be modified, amended or rescinded only by a written agreement executed by both parties signatories to this Award.
13. | Purchase Only for Investment. |
To ensure the Company’s compliance with the Securities Act of 1933, as amended, the Grantee agrees for himself or herself, the Grantee’s legal representatives and estate, and any
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Exhibit 10.20
other persons who acquire or may obtain the rights under this Agreement upon the Grantee’s death, that shares of Stock will be acquired hereunder for investment purposes only and not with a view to their distribution, as that term is used in the Securities Act of 1933, unless in the opinion of counsel to the Company such distribution is in compliance with, or exempt from, the registration and prospectus requirements of the Securities Act of 1933.
14. | Governing Law. |
This Agreement shall be governed by the laws of the Commonwealth of Massachusetts, United States of America without regard to any choice of law rules thereunder.
15. | Consent to Electronic Delivery. |
In lieu of receiving documents in paper format, the Grantee agrees, to the fullest extent permitted by law, to accept electronic delivery of any documents that the Company may be required to deliver (including, but not limited to, the Plan, prospectuses, prospectus supplements, grant or award notifications and agreements, account statements, annual and quarterly reports, and all other agreements, forms, notices and other communications) in connection with this and any other prior or future award or program made or offered by the Company or its predecessors or successors. Electronic delivery of a document to the Grantee may be made via a Company e-mail system, by reference to a location on a Company intranet site to which the Grantee has access, or by a website maintained by a third party engaged to provide administrative services related to the Plan.
16. | Electronic Signature. |
The parties may execute and deliver this Agreement and any documents now or hereafter executed and delivered in connection with this Agreement using procedures now or hereafter established by the Company for electronic signature and document delivery. The Grantee’s electronic signature shall be the same as, and shall have the same force and effect as, the Grantee’s manual signature. Any procedures for electronic signature and delivery may be effected by a third party engaged by the Company to provide administrative services related to the Plan.
17. | Personal Information. |
The Grantee hereby acknowledges and agrees that the personal data necessary to administer the Plan may be transferred from any direct or indirect subsidiary of the Company to the Company, and/or a securities brokerage firm and/or any other entity responsible for administering the accounts of participants of the Plan. Some of these entities may be located in countries whose privacy and data protection laws may not be equivalent to those in the Grantee’s country of residence. Such data may include the Grantee’s name, position, address, date of birth and all other data necessary to prove the Grantee’s eligibility to receive Shares and the data necessary to calculate any tax
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withholdings. Grantee may request access to and, where shown to be incorrect, correct the personal data.
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Exhibit 10.20
IN WITNESS WHEREOF, this Agreement is effective as of the Grant Date set forth on the cover page of this Agreement.
XXXXXX CORPORATION
By: | Date | ||
Its: | |||
By signing below, the Grantee acknowledges receipt of a copy of this entire Agreement and a copy of the Plan.
Signature | Date | ||
Print Name | |||
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