THE GOLDMAN SACHS AMENDED AND RESTATED STOCK INCENTIVE PLAN YEAR-END SUPPLEMENTAL RSU AWARD
Exhibit 10.61
THE XXXXXXX XXXXX AMENDED AND RESTATED
STOCK INCENTIVE PLAN
YEAR-END SUPPLEMENTAL RSU AWARD
STOCK INCENTIVE PLAN
YEAR-END SUPPLEMENTAL RSU AWARD
This Award Agreement sets forth the terms and conditions of the Year-End award (this
“Award”) of “Supplemental” RSUs (“Year-End Supplemental RSUs”) granted to you under The Xxxxxxx
Xxxxx Amended and Restated Stock Incentive Plan (the “Plan”).
1. The Plan. This Award is made pursuant to the Plan, the terms of which
are incorporated in this Award Agreement. Capitalized terms used in this Award Agreement that are
not defined in this Award Agreement have the meanings as used or defined in the Plan. References
in this Award Agreement to any specific Plan provision shall not be construed as limiting the
applicability of any other Plan provision. In light of the U.S. tax rules relating to deferred
compensation in Section 409A of the Code, to the extent that you are a United States taxpayer,
certain provisions of this Award Agreement and of the Plan shall apply only as provided in
Paragraph 15.
2. Award. The number of Year-End Supplemental RSUs subject to this Award is
set forth in the Award Statement delivered to you. An RSU is an unfunded and unsecured promise to
deliver (or cause to be delivered) to you, subject to the terms and conditions of this Award
Agreement, a share of Common Stock (a “Share”) on the Delivery Date or as otherwise provided
herein. Until such delivery, you have only the rights of a general unsecured creditor, and no
rights as a shareholder of GS Inc. This Award is conditioned on your executing the related
signature card and returning it to the address designated on the signature card and/or by the
method designated on the signature card by the date specified, and is subject to all terms,
conditions and provisions of the Plan and this Award Agreement, including, without limitation, the
arbitration and choice of forum provisions set forth in Paragraph 12. By executing the
related signature card (which, among other things, opens the custody account referred to in
paragraph 3(b) if you have not done so already), you will have confirmed your acceptance
of all of the terms and conditions of this Award Agreement.
3. Vesting and Delivery.
(a) Vesting. Except as provided in this Paragraph 3 and in Paragraphs 2, 4, 6, 7, 9,
10 and 15, on each Vesting Date you shall become Vested in the number or percentage of Year-End
Supplemental RSUs specified next to such Vesting Date on the Award Statement (which may be rounded
to avoid fractional Shares). While continued active Employment is not required in order to receive
delivery of the Shares underlying your Outstanding Year-End Supplemental RSUs that are or become
Vested, all other terms and conditions of this Award Agreement shall continue to apply to such
Vested Year-End Supplemental RSUs, and failure to meet such terms and conditions may result in the
termination of this Award (as a result of which, no Shares underlying such Vested Year-End
Supplemental RSUs would be delivered).
(b) Delivery.
(i) The Delivery Date with respect to the number or percentage of your Year-End Supplemental
RSUs shall be the date specified next to such number or percentage of Year-End Supplemental RSUs on
your Award Statement. In accordance with Treasury Regulations section (“Reg.”) 1.409A-3(d), the
Firm may accelerate delivery to a date that is up to 30 days before the Delivery Date specified
on the Award Statement; provided, however, that in no event shall you be permitted to
designate, directly or indirectly, the taxable year of the delivery.
(ii)
Except as provided in this Paragraph 3 and in Paragraphs 2, 4, 5, 6, 7, 9, 10, 15 and 16, in
accordance with Section 3.23 of the Plan, reasonably promptly (but in no case more than thirty (30)
Business Days) after each date specified as a Delivery Date (or any other date delivery of Shares
is called for hereunder), Shares underlying the number or percentage of your then Outstanding
Year-End Supplemental RSUs with respect to which such Delivery Date (or other date) has occurred
(which number of Shares may be rounded to avoid fractional Shares) shall be delivered by book entry
credit to your Custody Account or to a brokerage account, as approved or required by the Firm.
Notwithstanding the foregoing, if you are or become considered by GS Inc. to be one of its “covered
employees” within the meaning of Section 162(m) of the Code, then you shall be subject to Section
3.21.3 of the Plan, as a result of which delivery of your Shares may be delayed.
(iii)
In accordance with Section 1.3.2(i) of the Plan, in the discretion of the Committee, in lieu
of all or any portion of the Shares otherwise deliverable in respect of all or any portion of your
Year-End Supplemental RSUs, the Firm may deliver cash, other securities, other Awards or other
property, and all references in this Award Agreement to deliveries of Shares shall include such
deliveries of cash, other securities, other Awards or other property.
(iv) In the discretion of the Committee, delivery of Shares may be made initially into an escrow
account meeting such terms and conditions as are determined by the Firm and may be held in that
escrow account until such time as the Committee has received such documentation as it may have
requested or until the Committee has determined that any other conditions or restrictions on
delivery of Shares required by this Award Agreement have been satisfied. By accepting your
Year-End Supplemental RSUs, you have agreed on behalf of yourself (and your estate or other
permitted beneficiary) that the Firm may establish and maintain an escrow account on such terms and
conditions (which may include, without limitation, your executing any documents related to, and
your paying for any costs associated with, such escrow account) as the Firm may deem necessary or
appropriate. Any such escrow arrangement shall, unless otherwise determined by the Firm, provide
that (A) the escrow agent shall have the exclusive authority to vote such Shares while held in
escrow and (B) dividends paid on such Shares held in escrow may be accumulated and shall be paid as
determined by the Firm in its discretion.
(c) Death. Notwithstanding any other Paragraph of this Award Agreement (except
Paragraph 15), if you die prior to the Delivery Date, the Shares underlying your then Outstanding
Year-End Supplemental RSUs shall be delivered to the representative of your estate as soon as
practicable after the date of death and after such documentation as may be requested by the
Committee is provided to the Committee. The Committee may adopt procedures pursuant to which you
may be permitted to specifically bequeath some or all of your Outstanding Year-End Supplemental
RSUs under your will to an organization described in Sections 501(c)(3) and 2055(a) of the Code (or
such other similar charitable organization as may be approved by the Committee).
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4. Termination of Year-End Supplemental RSUs and Non-Delivery of Shares.
(a) Unless the Committee determines otherwise, and except as provided in Paragraphs 3(c), 6,
7, and 9(g), if your Employment terminates for any reason or you otherwise are no longer actively
employed with the Firm, your rights in respect of your Year-End Supplemental RSUs that were
Outstanding but that had not yet become Vested prior to your termination of Employment immediately
shall terminate, such Year-End Supplemental RSUs shall cease to be Outstanding and no Shares shall
be delivered in respect thereof.
(b) Unless the Committee determines otherwise, and except as provided in Paragraphs 6 and 7,
your rights in respect of all of your Outstanding Year-End Supplemental RSUs (whether or not
Vested) immediately shall terminate, such Year-End Supplemental RSUs shall cease to be Outstanding
and no Shares shall be delivered in respect thereof if:
(i) you attempt to have any dispute under the Plan or this Award Agreement resolved in any
manner that is not provided for by Paragraph 12 or Section 3.17 of the Plan;
(ii) any event that constitutes Cause has occurred;
(iii) (A) you, in any manner, directly or indirectly, (1) Solicit any Client to transact
business with a Competitive Enterprise or to reduce or refrain from doing any business with the
Firm, (2) interfere with or damage (or attempt to interfere with or damage) any relationship
between the Firm and any Client, (3) Solicit any person who is an employee of the Firm to resign
from the Firm or to apply for or accept employment with any Competitive Enterprise or (4) on behalf
of yourself or any person or Competitive Enterprise hire, or participate in the hiring of, any
Selected Firm Personnel or identify, or participate in the identification of, Selected Firm
Personnel for potential hiring, whether as an employee or consultant or otherwise, or (B) Selected
Firm Personnel are Solicited, hired or accepted into partnership, membership or similar status (1)
by a Competitive Enterprise that you form, that bears your name, in which you are a partner, member
or have similar status, or in which you possess or control greater than a de minimis equity
ownership, voting or profit participation or (2) by any Competitive Enterprise where you have, or
are intended to have, direct or indirect managerial or supervisory responsibility for such Selected
Firm Personnel;
(iv) you fail to certify to GS Inc., in accordance with procedures established by the
Committee, that you have complied, or the Committee determines that you in fact have failed to
comply, with all the terms and conditions of the Plan and this Award Agreement. By accepting the
delivery of Shares under this Award Agreement, you shall be deemed to have represented and
certified at such time that you have complied with all the terms and conditions of the Plan and
this Award Agreement;
(v) the Committee determines that you failed to meet, in any respect, any obligation you may
have under any agreement between you and the Firm, or any agreement entered into in connection with
your Employment with the Firm, including, without limitation, the Firm’s notice period requirement
applicable to you, any offer letter, employment agreement or any shareholders’ agreement to which
other similarly situated employees of the Firm are a party;
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(vi) as a result of any action brought by you, it is determined that any of the terms or
conditions for delivery of Shares in respect of this Award Agreement are invalid; or
(vii) your Employment terminates for any reason or you otherwise are no longer actively
employed with the Firm and an entity to which you provide services grants you cash, equity or other
property (whether vested or unvested) to replace, substitute for or otherwise in respect of any
Outstanding Year-End Supplemental RSUs.
For purposes of the foregoing, the term “Selected Firm Personnel” means: (A) any Firm
employee or consultant (1) with whom you personally worked while employed by the Firm, or (2) who
at any time during the year immediately preceding your termination of Employment with the Firm,
worked in the same division in which you worked; and (B) any Managing Director of the Firm.
(c) For the avoidance of doubt, failure to pay or reimburse the Firm, upon demand, for any
amount you owe to the Firm shall constitute (i) failure to meet an obligation you have under an
agreement referred to in Paragraph 4(b)(v), regardless of whether such obligation arises under a
written agreement, and/or (ii) a material violation of Firm policy constituting Cause referred to
in Paragraph 4(b)(ii).
(d) Unless the Committee determines otherwise, without limiting any other provision in
Paragraph 4(b), and except as provided in Paragraph 7, if the Committee determines that, during the
Firm’s fiscal year, you participated in the structuring or marketing of any product or
service, or participated on behalf of the Firm or any of its clients in the purchase or sale of any
security or other property, in any case without appropriate consideration of the risk to the Firm
or the broader financial system as a whole (for example, where you have improperly analyzed such
risk or where you have failed sufficiently to raise concerns about such risk) and, as a result of
such action or omission, the Committee determines there has been, or reasonably could be expected
to be, a material adverse impact on the Firm, your business unit or the broader financial system,
your rights in respect of your Year-End Supplemental RSUs awarded as part of this Award (whether or
not Vested) immediately shall terminate, such Year-End Supplemental RSUs shall cease to be
Outstanding and no Shares shall be delivered in respect thereof (and any Shares, Dividend
Equivalents, or other amounts paid or delivered to you in respect of this Award shall be subject to
repayment in accordance with Paragraph 5).
5. Repayment. The provisions of Section 2.6.3 of the Plan (which requires
Award recipients to repay to the Firm amounts delivered to them if the Committee determines that
all terms and conditions of this Award Agreement in respect of such delivery were not satisfied)
shall apply to this Award.
6. Extended Absence, Retirement, Downsizing and Approved Termination for Program
Analysts.
(a) Notwithstanding any other provision of this Award Agreement, but subject to Paragraph
6(b), in the event of the termination of your Employment (determined as described in Section 1.2.19
of the Plan) by reason of Extended Absence or Retirement (as defined below), the condition set
forth in Paragraph 4(a) shall be waived with respect to any Year-End Supplemental RSUs that were
Outstanding but that had not yet become Vested immediately prior to such termination of Employment
(as a result of which such Year-End Supplemental RSUs shall become Vested), but all other terms and
conditions of this Award
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Agreement shall continue to apply. Notwithstanding anything to the contrary in the Plan or
otherwise, “Retirement” means termination of your Employment (other than for Cause) on or after
December 31, __ at a time when (i) (A) the sum of your age plus years of service with the Firm
(as determined by the Committee in its sole discretion) equals or exceeds 60 and (B) you have
completed at least ten (10) years of service with the Firm (as determined by the Committee in its
sole discretion) or, if earlier, (ii) (A) you have attained age 50 and (B) you have completed at
least 5 (five) years of service with the Firm (as determined by the Committee in its sole
discretion).
(b) Without limiting the application of Paragraphs 4(b), and 4(d), your rights in respect of
your Outstanding Year-End Supplemental RSUs that become Vested in accordance with Paragraph 6(a)
immediately shall terminate, such Outstanding Year-End Supplemental RSUs shall cease to be
Outstanding, and no Shares shall be delivered in respect thereof if, prior to the original Vesting
Date with respect to such Year-End Supplemental RSUs, you (i) form, or acquire a 5% or greater
equity ownership, voting or profit participation interest in, any Competitive Enterprise, or (ii)
associate in any capacity (including, but not limited to, association as an officer, employee,
partner, director, consultant, agent or advisor) with any Competitive Enterprise. Notwithstanding
the foregoing, unless otherwise determined by the Committee in its discretion, this Paragraph 6(b)
will not apply to your Outstanding Year-End Supplemental RSUs if your termination of Employment by
reason of Extended Absence or Retirement is characterized by the Firm as “involuntary” or by
“mutual agreement” other than for Cause and if you execute such a general waiver and release of
claims and an agreement to pay any associated tax liability, both as may be prescribed by the Firm
or its designee. No termination of Employment initiated by you, including any termination claimed
to be a “constructive termination” or the like or a termination for good reason, will constitute an
“involuntary” termination of Employment or a termination of Employment by “mutual agreement.”
(c) Notwithstanding any other provision of this Award Agreement and subject to your executing
such general waiver and release of claims and an agreement to pay any associated tax liability,
both as may be prescribed by the Firm or its designee, if your Employment is terminated without
Cause solely by reason of a “downsizing,” the condition set forth in Paragraph 4(a) shall be waived
with respect to your Year-End Supplemental RSUs that were Outstanding but that had not yet become
Vested immediately prior to such termination of Employment (as a result of which such Year-End
Supplemental RSUs shall become Vested), but all other conditions of this Award Agreement shall
continue to apply. Whether or not your Employment is terminated solely by reason of a “downsizing”
shall be determined by the Firm in its sole discretion. No termination of Employment initiated by
you, including any termination claimed to be a “constructive termination” or the like or a
termination for good reason, will be solely by reason of a “downsizing.”
(d) Notwithstanding any other provision of this Award Agreement, if you are classified by the
Firm as a “program analyst,” and your Employment is terminated without Cause solely by reason of an
“approved termination” with respect to your participation in the program prior to any Vesting Date
specified on your Award Statement, the condition set forth in Paragraph 4(a) shall be waived with
respect to any Year-End Supplemental RSUs that were Outstanding but had not yet become Vested
immediately prior to such termination of Employment (as a result of which such Year-End
Supplemental RSUs shall become Vested, but all other conditions of this Award Agreement shall
continue to apply. Unless otherwise determined by the Committee, for purposes of this Paragraph
6(d), an “approved termination” shall mean a termination of Employment from the analyst program
where you: (i) successfully complete the analyst program (as determined by the Firm in its sole
discretion), which shall include, but not be limited to, remaining Employed by the Firm
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through the analyst program completion date specified by the Firm and (ii) terminate
Employment with the Firm immediately after you complete the analyst program, without any “stay-on”
or other agreement or understanding to continue Employment with the Firm. If you agree to stay
with the Firm as an employee after your analyst program ends and then later terminate Employment,
you will not have an “approved termination.”
7. Change in Control. Notwithstanding anything to the contrary in this
Award Agreement (except Paragraph 15), in the event a Change in Control shall occur and within 18
months thereafter the Firm terminates your Employment without Cause or you terminate your
Employment for Good Reason, all Shares underlying your then Outstanding Year-End Supplemental RSUs,
whether or not Vested, shall be delivered.
8. Dividend Equivalent Rights. Each Year-End Supplemental RSU shall include a
Dividend Equivalent Right. Accordingly, with respect to each of your Outstanding Year-End
Supplemental RSUs, at or after the time of distribution of any regular cash dividend paid by GS
Inc. in respect of a Share the record date for which occurs on or after the Date of Grant, you
shall be entitled to receive an amount (less applicable withholding) equal to such regular dividend
payment as would have been made in respect of the Share underlying such Outstanding Year-End
Supplemental RSU. Payment in respect of a Dividend Equivalent Right shall be made only with
respect to Year-End Supplemental RSUs that are Outstanding on the relevant record date. Each
Dividend Equivalent Right shall be subject to the provisions of Section 2.8.2 of the Plan.
9. Certain Additional Terms, Conditions and Agreements.
(a) The delivery of Shares is conditioned on your satisfaction of any applicable withholding
taxes in accordance with Section 3.2 of the Plan. To the extent permitted by applicable law, the
Firm, in its sole discretion, may require you to provide amounts equal to all or a portion of any
Federal, State, local, foreign or other tax obligations imposed on you or the Firm in connection
with the grant, vesting or delivery of this Award by requiring you to choose between remitting such
amount (i) in cash (or through payroll deduction or otherwise) or (ii) in the form of proceeds from
the Firm’s executing a sale of Shares delivered to you pursuant to this Award. In addition, if you
are an individual with separate employment contracts (at any time during and/or after the Firm’s
__ fiscal year), the Firm may, in its sole discretion, require you to provide for a reserve in an
amount the Firm determines is advisable or necessary in connection with any actual, anticipated or
potential tax consequences related to your separate employment contracts by requiring you to choose
between remitting such amount (i) in cash (or through payroll deduction or otherwise) or (ii) in
the form of proceeds from the Firm’s executing a sale of Shares delivered to you pursuant to this
Award (or any other Outstanding Awards under the Plan). In no event, however, shall any choice you
may have under the preceding two sentences determine, or give you any discretion to affect, the
timing of the delivery of Shares or the timing of payment of tax obligations.
(b) If you are or become a Managing Director, your rights in respect of the Year-End
Supplemental RSUs are conditioned on your becoming a party to any shareholders’ agreement to which
other similarly situated employees of the Firm are a party.
(c) Your rights in respect of your Year-End Supplemental RSUs are conditioned on the receipt
to the full satisfaction of the Committee of any required consents (as described in Section 3.3 of
the Plan) that the Committee may determine to be necessary or advisable.
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(d) You understand and agree, in accordance with Section 3.3 of the Plan, by accepting this
Award, you have expressly consented to all of the items listed in Section 3.3.3(d) of the Plan,
which are incorporated herein by reference.
(e) You understand and agree, in accordance with Section 3.22 of the Plan, by accepting this
Award you have agreed to be subject to the Firm’s policies in effect from time to time concerning
trading in Shares and hedging or pledging Shares and equity-based compensation or other awards
(including, without limitation, the Firm’s “Policies With Respect to Transactions Involving GS
Shares, Equity Awards and GS Options by Persons Affiliated with GS Inc.”), and confidential or
proprietary information, and to effect sales of Shares delivered to you in respect of your Year-End
Supplemental RSUs in accordance with such rules and procedures as may be adopted from time to time
with respect to sales of such Shares (which may include, without limitation, restrictions relating
to the timing of sale requests, the manner in which sales are executed, pricing method,
consolidation or aggregation of orders and volume limits determined by the Firm). In addition, you
understand and agree that you shall be responsible for all brokerage costs and other fees or
expenses associated with your Year-End Supplemental RSU Award, including without limitation, such
brokerage costs or other fees or expenses in connection with the sale of Shares delivered to you
hereunder.
(f) GS Inc. may affix to Certificates representing Shares issued pursuant to this Award
Agreement any legend that the Committee determines to be necessary or advisable (including to
reflect any restrictions to which you may be subject under a separate agreement with GS Inc.). GS
Inc. may advise the transfer agent to place a stop order against any legended Xxxxxx.
(g) Without limiting the application of Paragraphs 4(b) and 4(d), if:
(i) your Employment with the Firm terminates solely because you resigned to accept employment
at any U.S. Federal, state or local government, any non-U.S. government, any supranational or
international organization, any self-regulatory organization or any agency, or instrumentality of
any such government or organization, or any other employer determined by the Committee, and as a
result of such employment, your continued holding of your Outstanding Year-End Supplemental RSUs
would result in an actual or perceived conflict of interest (“Conflicted Employment”); or
(ii) following your termination of Employment other than described in Paragraph 9(g)(i), you
notify the Firm that you have accepted or intend to accept Conflicted Employment at a time when you
continue to hold Outstanding Year-End Supplemental RSUs;
then, in the case of Paragraph 9(g)(i) above only, the condition set forth in Paragraph 4(a) shall
be waived with respect to any Year-End Supplemental RSUs you then hold that had not yet become
Vested (as a result of which such Year-End Supplemental RSUs shall become Vested) and, in the case
of Paragraphs 9(g)(i) and 9(g)(ii) above, at the sole discretion of the Firm you shall receive
either a lump sum cash payment in respect of, or delivery of Shares underlying, your then
Outstanding Vested Year-End Supplemental RSUs, in each case as soon as practicable after the
Committee has received satisfactory documentation relating to your Conflicted Employment.
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(h) In addition to and without limiting the generality of the provisions of Section 1.3.5 of
the Plan, neither the Firm nor any Covered Person shall have any liability to you or any other
person for any action taken or omitted in respect of this or any other Award.
(i) You understand and agree that, in the event of your termination of Employment while you
continue to hold outstanding Vested Year-End Supplemental RSUs, you may be required to certify,
from time to time, your compliance with all terms and conditions of the Plan and this Award
Agreement. You understand and agree that (i) it is your responsibility to inform the Firm of any
changes to your address to ensure timely receipt of the certification materials, (ii) you are
responsible for obtaining such certification materials by contacting the Firm if you do not receive
certification materials, and (iii) failure to return properly completed certification materials by
the deadline specified in the certification materials will result in the forfeiture of all of your
outstanding Year-End Supplemental RSUs in accordance with Paragraph 4(b)(iv).
10. Right of Offset. Except as provided in Paragraph 15(h), the obligation to deliver
Shares under this Award Agreement is subject to Section 3.4 of the Plan, which provides for the
Firm’s right to offset against such obligation any outstanding amounts you owe to the Firm and any
amounts the Committee deems appropriate pursuant to any tax equalization policy or agreement.
11. Amendment. The Committee reserves the right at any time to amend the terms
and conditions set forth in this Award Agreement, and the Board may amend the Plan in any respect;
provided that, notwithstanding the foregoing and Sections 1.3.2(f), 1.3.2(g) and 3.1 of the Plan,
no such amendment shall materially adversely affect your rights and obligations under this Award
Agreement without your consent; and provided further that the Committee expressly reserves its
rights to amend the Award Agreement and the Plan as described in Sections 1.3.2(h)(1), (2) and (4)
of the Plan. Any amendment of this Award Agreement shall be in writing.
12. Arbitration; Choice of Forum. BY ACCEPTING THIS AWARD, YOU UNDERSTAND AND AGREE
THAT THE ARBITRATION AND CHOICE OF FORUM PROVISIONS SET FORTH IN SECTION 3.17 OF THE PLAN, WHICH
ARE EXPRESSLY INCORPORATED HEREIN BY REFERENCE AND WHICH, AMONG OTHER THINGS, PROVIDE THAT ANY
DISPUTE, CONTROVERSY OR CLAIM BETWEEN THE FIRM AND YOU ARISING OUT OF OR RELATING TO OR CONCERNING
THE PLAN OR THIS AWARD AGREEMENT SHALL BE FINALLY SETTLED BY ARBITRATION IN NEW YORK CITY, PURSUANT
TO THE TERMS MORE FULLY SET FORTH IN SECTION 3.17 OF THE PLAN, SHALL APPLY.
13. Non-transferability. Except as otherwise may be provided in this Paragraph or as
otherwise may be provided by the Committee, the limitations on transferability set forth in Section
3.5 of the Plan shall apply to this Award. Any purported transfer or assignment in violation of
the provisions of this Paragraph 13 or Section 3.5 of the Plan shall be void. The Committee may
adopt procedures pursuant to which some or all recipients of Year-End Supplemental RSUs may
transfer some or all of their Year-End Supplemental RSUs through a gift for no consideration to any
immediate family member (as determined pursuant to the procedures) or a trust in which the
recipient and/or the recipient’s immediate family members in the aggregate have 100% of the
beneficial interest (as determined pursuant to the procedures).
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14. Governing Law. THIS AWARD SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICT OF LAWS.
15. Compliance of Award Agreement and Plan With Section 409A. The provisions of this
Paragraph 15 apply to you only if you are a United States taxpayer.
(a) References in this Award Agreement to “Section 409A” refer to Section 409A of the Code,
including any amendments or successor provisions to that Section and any regulations and other
administrative guidance thereunder, in each case as they, from time to time, may be amended or
interpreted through further administrative guidance. This Award Agreement and the Plan provisions
that apply to this Award are intended and shall be construed to comply with Section 409A (including
the requirements applicable to, or the conditions for exemption from treatment as, a “deferral of
compensation” or “deferred compensation” as those terms are defined in the regulations under
Section 409A (“409A deferred compensation”), whether by reason of short-term deferral treatment or
other exceptions or provisions). The Committee shall have full authority to give effect to this
intent. To the extent necessary to give effect to this intent, in the case of any conflict or
potential inconsistency between the provisions of the Plan (including, without limitation, Sections
1.3.2 and 2.1 thereof) and this Award Agreement, the provisions of this Award Agreement shall
govern, and in the case of any conflict or potential inconsistency between this Paragraph 15 and
the other provisions of this Award Agreement, this Paragraph 15 shall govern.
(b) Delivery of Shares shall not be delayed beyond the date on which all applicable
conditions or restrictions on delivery of Shares in respect of your Year-End Supplemental RSUs
required by this Agreement (including, without limitation, those specified in Paragraphs 3(b) and
(c), 6(b) and (c) (execution of waiver and release of claims and agreement to pay associated tax
liability) and 9 and the consents and other items specified in Section 3.3 of the Plan) are
satisfied, and shall occur by March 15 of the calendar year in which the Delivery Date occurs
unless, in order to permit such conditions or restrictions to be satisfied, the Committee elects,
pursuant to Reg. 1.409A-1(b)(4)(i)(D) or otherwise as may be permitted in accordance with Section
409A, to delay delivery of Shares to a later date within the same calendar year or to such later
date as may be permitted under Section 409A, including, without limitation, Regs. 1.409A-2(b)(7)
(in conjunction with Section 3.21.3 of the Plan pertaining to Code Section 162(m)) and 1.409A-3(d).
(c) Notwithstanding the provisions of Paragraph 3(b)(iii) and Section 1.3.2(i) of the Plan, to
the extent necessary to comply with Section 409A, any securities, other Awards or other property
that the Firm may deliver in respect of your Year-End Supplemental RSUs shall not have the effect
of deferring delivery or payment, income inclusion, or a substantial risk of forfeiture, beyond the
date on which such delivery, payment or inclusion would occur or such risk of forfeiture would
lapse, with respect to the Shares that would otherwise have been deliverable (unless the Committee
elects a later date for this purpose pursuant to Reg. 1.409A-1(b)(4)(i)(D) or otherwise as may be
permitted under Section 409A, including, without limitation and to the extent applicable, the
subsequent election provisions of Section 409A(a)(4)(C) of the Code and Reg. 1.409A-2(b)).
(d) Notwithstanding the timing provisions of Paragraph 3(c), the delivery of Shares referred
to therein shall be made after the date of death and during the calendar year that includes the
date of death (or on such later date as may be permitted under Section 409A).
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(e) The timing of delivery or payment pursuant to Paragraph 7 shall occur on the earlier of
(i) the Delivery Date or (ii) a date that is within the calendar year in which the termination of
Employment occurs; provided, however, that, if you are a “specified employee” (as defined by the
Firm in accordance with Section 409A(a)(2)(i)(B) of the Code), delivery shall occur on the earlier
of the Delivery Date or (to the extent required to avoid the imposition of additional tax under
Section 409A) the date that is six months after your termination of Employment (or, if the latter
date is not during a Window Period, the first trading day of the next Window Period). For purposes
of Paragraph 7, references in this Award Agreement to termination of Employment mean a termination
of Employment from the Firm (as defined by the Firm) which is also a separation from service (as
defined by the Firm in accordance with Section 409A).
(f) Notwithstanding any provision of Paragraph 8 or Section 2.8.2 of the Plan to the contrary,
the Dividend Equivalent Rights with respect to each of your Outstanding Year-End Supplemental RSUs
shall be paid to you within the calendar year that includes the date of distribution of any
corresponding regular cash dividends paid by GS Inc. in respect of a Share the record date for
which occurs on or after the Date of Grant. The payment shall be in an amount (less applicable
withholding) equal to such regular dividend payment as would have been made in respect of the
Shares underlying such Outstanding Year-End Supplemental RSUs.
(g) The timing of delivery or payment referred to in Paragraph 9(g) shall be the earlier of
(i) the Delivery Date or (ii) a date that is within the calendar year in which the Committee
receives satisfactory documentation relating to your Conflicted Employment, provided that such
delivery or payment shall be made only at such time as, and if and to the extent that it, as
reasonably determined by the Firm, would not result in the imposition of any additional tax to you
under Section 409A.
(h) Paragraph 10 and Section 3.4 of the Plan shall not apply to Awards that are 409A deferred
compensation.
(i) Delivery of Shares in respect of any Award may be made, if and to the extent elected by
the Committee, later than the Delivery Date or other date or period specified hereinabove (but, in
the case of any Award that constitutes 409A deferred compensation, only to the extent that the
later delivery is permitted under Section 409A).
16. Compliance of Award Agreement and Plan with Section 457A. To the extent the
Committee or the Plan’s committee that has been delegated certain authority by the Committee (the
“SIP Committee”) determines that (i) Section 457A of the Code or any guidance promulgated
thereunder (“Section 457A”) requires that, in order to qualify for the short-term deferral
exception from treatment as “deferred compensation” under Section 457A(d)(3)(B) of the Code, the
documents governing an Award must specify that such Award will be delivered within the period set
forth in Section 457(A)(d)(3)(B) of the Code and (ii) all or any portion of this Award is or
becomes subject to Section 457A, this Award Agreement will be deemed to be amended as of the Date
of Grant (as the Committee or the SIP Committee determines necessary or appropriate after
consultation with counsel) to provide that delivery of Year-End Supplemental RSUs will occur no
later than 12 months after the end of the taxable year in which the right to delivery is first no
longer subject to a substantial risk of forfeiture (as defined under Section 457A); provided,
however, that no action or modification will be permitted to the extent that such action or
modification would cause such Award to fail to satisfy the
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conditions of an applicable exception from the requirements of Section 409A or otherwise would
result in an additional tax imposed under Section 409A in respect of such Award.
17. Headings. The headings in this Award Agreement are for the purpose of convenience
only and are not intended to define or limit the construction of the provisions hereof.
IN WITNESS WHEREOF, GS Inc. has caused this Award Agreement to be duly executed and delivered
as of the Date of Xxxxx.
| THE XXXXXXX XXXXX GROUP, INC. | |||||
| By: | |||||
| Name: | |||||
| Title: | |||||
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