RESTRICTED STOCK AGREEMENT Award Details:
Exhibit
10.30
Award Details:
Participant: |
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Number of Shares of Restricted Stock: |
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Performance Period:
|
February 7, 2011 through January 31, 2014 | |||
Date of Grant:
|
February 7, 2011 | |||
Fair Market Value (at close of
business on Date of Grant):
|
$ | |||
Agreement:
This Restricted Stock Agreement (the “Agreement”) is entered into effective as of the Date of
Grant between the Participant and The St. Xxx Company, a Florida corporation (the “Company”),
pursuant to the Company’s 2009 Equity Incentive Plan (the “Plan”).
WHEREAS, the Company desires to grant, and the Participant desires to receive, an Award of
Restricted Stock pursuant and subject to the terms and conditions of the Plan and this Agreement
(the “Award”).
NOW, THEREFORE, the Participant and the Company hereby agree as follows:
1. The Plan, Award Details and Defined Terms. The provisions of the Plan and the
Award Details listed above are incorporated into this Agreement by reference. Capitalized terms
used but not defined in this Agreement or the Award Details set forth above shall have the meanings
ascribed to them in the Plan.
2. Grant of Restricted Stock. As of the Date of Grant, the Company hereby grants to
the Participant the number of shares of Restricted Stock set forth in the Award Details above (the
“Restricted Stock”), subject to the terms and conditions of the Plan and this Agreement.
3. Vesting and Forfeiture of Restricted Stock. The Restricted Stock shall vest, or
shall be forfeited, in whole or in part, as provided on Exhibit A attached hereto.
4. Restrictions on Transfer of Restricted Stock. None of the Restricted Stock shall
be sold, transferred, pledged, assigned or otherwise alienated or hypothecated by the Participant,
other than upon the Participant’s death to a beneficiary in accordance with the Plan or by will or
the laws of descent and distribution. Participant agrees not to sell, transfer, pledge, assign or
otherwise alienate or hypothecate any shares of Common Stock acquired upon the vesting of the
Restricted Stock if applicable laws or Company policies prohibit any such action.
5. Delivery of Title to Shares. Subject to any governing rules or regulations, the
Company shall deliver any shares of Common Stock acquired in connection with the vesting of the
Restricted Stock to or for the benefit of the Participant either (a) by delivering to the
Participant evidence of book entry shares of Common Stock credited to the account of the
Participant, or (b) by depositing such shares of Common Stock for the benefit of the Participant
with a broker designated by the Company. The Company shall not be required to issue stock
certificates for any shares of Common Stock acquired in connection with the vesting of the
Restricted Stock.
6. Rights of a Shareholder. The Participant shall have all of the rights of a
shareholder of the Company with respect to the shares of Restricted Stock, including the right to
vote the shares and receive dividends and other distributions with respect thereto.
7. Administration by the Committee. The Plan, this Agreement and the Restricted Stock
shall be subject to such administrative procedures and rules as the Committee shall adopt.
Decisions of the Committee on all matters relating to the Plan, this Agreement and the Restricted
Stock shall be in the Committee’s sole discretion and shall be conclusive and binding on all
parties.
8. Compliance with Law and Regulations. The Plan, this Agreement and the
Restricted Stock shall be subject to all applicable federal and state laws, rules, and regulations
and to such approvals by any government or regulatory agency as may be required. The Company shall
have no liability to deliver any shares in connection with the Award or make any other distribution
of the benefits under the Award unless such delivery or distribution would comply with all
applicable state, federal and foreign laws (including, without limitation and if applicable, the
requirements of the Securities Act of 1933), and any applicable requirements of any securities
exchange or similar entity and under any blue sky or other securities laws. As a condition
precedent to the issuance of shares of Common Stock in connection with an Award, the Company may
require the Participant to take any reasonable action to meet such requirements.
9. Company Policies. Participant agrees that he or she has read and will comply with
the Company’s Xxxxxxx Xxxxxxx Policy as described in its Code of Conduct. A copy of the Code of
Conduct is available by contacting the Company’s Human Resources Department or by accessing the
Human Resources section of the Company’s intranet.
10. Adjustments. If any change in corporate capitalization (such as a stock
split, reverse stock split, stock dividend, combination or reclassification of shares, or any other
similar transaction; or a recapitalization, repurchase, rights offering, reorganization, merger,
consolidation, combination, exchange of shares, spin-off, spin-out or other distribution of assets
to shareholders or other similar corporate transaction or event) results in the outstanding shares
of Common Stock, or any securities exchanged therefore or received in their place, being exchanged
for a different number or class of shares or other securities of the Company, or for shares of
stock or other securities of any other corporation (or new, different or additional shares or other
securities of the Company or of any other corporation being received by the holders of outstanding
shares of Common Stock), or a material change in the value of the outstanding shares of Common
Stock as a result of the change, transaction or distribution, then the Committee shall make
equitable adjustments, as it determines are necessary and appropriate to prevent the enlargement or
dilution of benefits intended to be made available under the Award.
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11. Tax Matters.
(a) Participant shall be liable for any and all taxes, including withholding taxes, arising
out of this Award or the vesting of Restricted Stock hereunder. The Company shall have the right
to deduct from any and all payments made in connection with the Award, or to require the
Participant, through payroll withholding, cash payment or otherwise, to make adequate provision
for, the federal, state, local and foreign taxes, if any, required by law to be withheld by the
Company with respect to the Award or the shares acquired pursuant thereto. The Company shall have
no obligation to deliver shares of Common Stock issuable to the Participant upon the vesting of the
Restricted Stock until the Company’s tax withholding obligations have been satisfied by the
Participant.
(b) The Company shall have the right, but not the obligation, to deduct from the shares of
Common Stock issuable to the Participant upon the vesting of the Restricted Stock, or to accept
from the Participant the tender of, a number of whole shares of Common Stock having a Fair Market
Value equal to all or any part of the tax withholding obligations of the Company. The Fair Market
Value of any shares of Common Stock withheld or tendered to satisfy any such tax withholding
obligations shall not exceed the minimum amount of tax required to be withheld with respect to the
transaction.
(c) Participant acknowledges that, at his or her option, Participant (i) shall be entitled to
make an election permitted under section 83(b) of the Internal Revenue Code of 1986, as amended
(the “Code”), to include in gross income in the taxable year in which the Restricted Stock is
granted, the Fair Market Value of such shares on the Date of Grant, notwithstanding that such
shares may be subject to a substantial risk of forfeiture within the meaning of the Code, or (ii)
may elect to include in gross income the Fair Market Value of the Restricted Stock as of the date
on which such restriction lapses. The Participant agrees to give the Company’s Human Resources
Department prompt written notice of any election made by such Participant under Code Section 83(b).
12. No Implied Rights. Nothing in the Plan or this Agreement shall confer upon the
Participant any right to continue in the employ of the Company or any Subsidiary, or interfere in
any way with the right of the Company or any Subsidiary to terminate the Participant’s employment
relationship at any time.
13. Governing Law. To the extent not preempted by federal law, this
Agreement shall be construed in accordance with and governed by the laws of the State of Florida,
without giving effect to any choice of law provisions.
14. Participant’s Access to the Plan. Participant may obtain a copy of the
Plan by contacting the Company’s Human Resources Department or by accessing the Human Resources
section of the Company’s intranet.
15. Entire Agreement. This Agreement and the Plan constitute the entire
understanding and agreement between Participant and the Company regarding this Award.
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Participant acknowledges that any other agreement, statement, understanding or promise with respect
to the Award, whether oral or in writing, not contained in this Agreement or the Plan shall not be
valid or binding. Any modification of or amendment to this Agreement shall be effective only if it
is in writing and signed by both parties, except as otherwise provided in Article 13 of the Plan.
IN WITNESS WHEREOF, the Company and Participant have caused this Agreement to be duly executed
on the dates set forth below.
| PARTICIPANT | ||||||
Date |
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| Participant Signature | ||||||
| THE ST. XXX COMPANY | ||||||
Date
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By: |
|
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| Vice President — Corporate Development | ||||||
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EXHIBIT A
VESTING OF RESTRICTED STOCK
1. Vesting of Restricted Stock.
The number of shares of Restricted Stock that shall vest under this Agreement shall be based
upon the following Performance Measure: the Company’s Total Shareholder Return as compared to the
Total Shareholder Returns of the Company’s Peer Groups during the Performance Period, as further
described below. Upon (i) the expiration of the Performance Period, and (ii) the Committee’s
determination and certification of the extent to which the Performance Goal has been achieved, the
Participant shall become vested in the number of shares of Restricted Stock that corresponds to the
level of achievement of the Performance Goal set forth below that is certified by the Committee.
Such determination and certification shall occur no later than sixty (60) days after the conclusion
of the Performance Period. If the Participant’s employment terminates prior to the end of the
Performance Period, all shares of Restricted Stock shall automatically be forfeited as of the date
of the Participant’s termination of employment; provided, however, that the Participant may be
eligible to receive a cash payment as described in Section 2 below.
Determination of Peer Groups:
The “Peer Groups” used for purposes of this Exhibit A shall be those companies
included in each of (1) a custom peer group consisting of the companies set forth on Exhibit B (the
“Custom Real Estate Group”) and (2) the S&P 500 Index (the “S&P 500 Group”), on the first day of
the Performance Period, subject to change as described below. The Custom Real Estate Group shall
be weighted as 60% of the final vesting calculation described below, and the S&P 500 Group shall be
weighted as 40% of the final vesting calculation described below.
If a company in a Peer Group experiences a bankruptcy event during the Performance Period, the
company will remain in the Peer Group and its stock price will continue to be tracked for purposes
of the Total Shareholder Return calculation. If the company is subsequently acquired or goes
private, the provisions below will apply. If the company liquidates, the company will remain in
the Peer Group and its Ending Stock Price will be reduced to zero.
If a company in a Peer Group is acquired by another company in the same Peer Group, the
acquired company will be removed from the Peer Group and the surviving company will remain in the
Peer Group.
If a company in a Peer Group is acquired by a company not in the same Peer Group, the acquired
company will remain in the Peer Group, and its Ending Stock Price will be equal to the value per
share of the consideration paid to the shareholders of the acquired company in the transaction.
The surviving company in such transaction will not be added to the Peer Group.
If a company in a Peer Group ceases to be a public company due to a going private transaction,
the company will remain in the Peer Group, and its Ending Stock Price shall be
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equal to the value per share of the consideration paid to the shareholders of the target company in
the transaction.
Changes in the S&P 500 Index and the Custom Real Estate Group during the Performance Period
will not affect the Peer Groups, except as described above.
Calculation of Total Shareholder Return:
“Total Shareholder Return” for the Company and each company in the Peer Groups shall include
dividends paid and shall be determined as follows:
Total Shareholder Return
|
= | Change in Stock Price + Dividends Paid | ||
| Beginning Stock Price |
“Beginning Stock Price” shall mean the average closing sale price of one (1) share of common
stock for the ten (10) trading days immediately prior to the first day of the Performance Period.
The Beginning Stock Price shall be appropriately adjusted to reflect any stock splits, reverse
stock splits or stock dividends during the Performance Period. Such closing sale prices shall be
as reported on the New York Stock Exchange, such other national securities exchange, or as reported
by an applicable automated quotation system, the OTC Bulletin Board, or otherwise, as applicable.
“Change in Stock Price” shall mean the difference between the Ending Stock Price and the
Beginning Stock Price.
“Dividends Paid” shall mean the total of all cash and in-kind dividends paid on one (1) share
of stock during the Performance Period.
“Ending Stock Price” shall mean the average of the thirty-six month-end closing sale prices of
one (1) share of common stock for each month during the Performance Period completed immediately
prior to the last day of the Performance Period, except as otherwise provided under “Determination
of Peer Groups” above. Such closing sale prices shall be as reported on the New York Stock
Exchange, such other national securities exchange, or as reported by an applicable automated
quotation system, the OTC Bulletin Board, or otherwise, as applicable.
“Performance Period” shall mean the period commencing on February 7, 2011, and ending on
January 31, 2014.
Calculation of Weighted Average Percentile Rank:
Following the Total Shareholder Return determination for the Company and the companies in each
Peer Group, the “Company Rank” for each Peer Group shall be determined by listing each company in
each Peer Group (including the Company) from highest Total Shareholder Return to lowest Total
Shareholder Return and counting up to the Company from the company with the lowest Total
Shareholder Return.
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The Company’s separate “Percentile Rank” for each Peer Group shall then be determined as
follows:
Percentile
|
Company Rank in each Peer Group | |||
Rank for
|
= | Total Number of companies in each Peer | ||
each Peer
|
Group including the Company | |||
Group |
The Company’s “Weighted Average Percentile Rank” shall then be calculated as the sum
of (i) the Company’s Percentile Rank in the Custom Real Estate Group multiplied by 60%, and (ii)
the Company’s Percentile Rank in the S&P 500 Group multiplied by 40%. For example, at the
conclusion of the Performance Period, if the Company’s Percentile Rank in the Custom Real Estate
Group were 65%, and the Company’s Percentile Rank in the S&P 500 Group were 50%, the Company’s
Weighted Average Percentile Rank would be calculated as follows: [(.65 x .60) + (.50 x .40)] x 100
= 59%.
Calculation of Number of Vested Shares of Restricted Stock:
The percent of shares of Restricted Stock that vest shall then be determined based on the
following chart:
| Company's Weighted Average | Percent of Shares of | |||
| Percentile Rank | Restricted Stock to Vest | |||
75th and above
|
100 | % | ||
70th
|
90 | % | ||
65th
|
80 | % | ||
60th
|
70 | % | ||
55th
|
60 | % | ||
50th
|
50 | % | ||
45th
|
42.5 | % | ||
40th
|
35 | % | ||
35th
|
27.5 | % | ||
30th
|
20 | % | ||
25th
|
12.5 | % | ||
Below 25th
|
0 | % | ||
Interpolation shall be used to determine the percent of shares of Restricted Stock that vest
in the event the Company’s Weighted Average Percentile Rank does not fall directly on one of the
ranks listed in the above chart. Once the percent of shares of Restricted Stock to vest has been
determined, the percent shall be multiplied by the number of shares of Restricted Stock awarded
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to determine the actual number of shares of Restricted Stock that vest, rounded to the next highest
whole share. All shares of Restricted Stock that do not vest in accordance with this Exhibit A
shall be automatically forfeited.
2. Termination Provisions.
(a) Generally. The Restricted Stock awarded under this Agreement shall vest only if
the Participant’s employment with the Company is continuous (as defined below) through the end of
the Performance Period.
(b) Death, Disability or Retirement. If prior to the end of the Performance Period, a
Participant ceases to be an Employee due to death, Disability or Retirement, all Restricted Stock
awarded under this Agreement shall be forfeited immediately. Notwithstanding the foregoing,
however, a Participant subject to any of the foregoing events shall be eligible to receive a cash
payment based on the Fair Market Value of a pro rata portion of their shares of Restricted Stock
that would have vested at the end of the Performance Period, which payment, if any, shall be made
after the conclusion of the Performance Period. The determination of a cash payment, if any, made
by the Committee pursuant to this Section 2(b) shall be made at the same time as the vesting
determination shall be made for Participants who remained employed by the Company through the last
day of the Performance Period. The cash payment, if any, shall be determined by multiplying the
number of shares of Restricted Stock that would have vested had the Participant remained employed
through the last day of the Performance Period by a fraction, the numerator of which is equal to
the number of days of the Performance Period that the Participant was employed by the Company, and
the denominator of which is the number of days in the Performance Period, multiplied by the closing
price of a share of Company Common Stock on the date that the vesting determination is made by the
Committee. Any cash payment shall be paid by the Company within thirty (30) days following the
Committee’s vesting determination.
(1) For purposes of this Exhibit A, “Retirement” shall mean (i) a voluntary termination
of employment with the Company and all Subsidiaries by the Participant after the Participant
has completed five (5) years of continuous service and attainment of age 55, or (ii) as
otherwise determined by the Committee. A Participant shall not be “retired” for purposes of
this definition if the Participant performs, or plans to perform, services (as an employee,
independent contractor or in another capacity) on a substantially full-time basis (as
determined by the Committee) for any third party.
(2) A Participant’s service remains “continuous” for purposes of vesting under this
Exhibit A even if the Participant goes on military leave, sick leave, or another bona fide
leave of absence, if the leave was approved by the Company in writing and if continued
crediting of service is required by the terms of the leave or by applicable law. However,
the Participant must return to active work promptly, for a substantial period of time, upon
the termination of such approved leave, or an interruption of service will be deemed to have
occurred as of the date such leave began.
(c) Other Termination of Employment. If prior to the end of the Performance Period,
the Participant ceases to be an Employee for any reason other than death, Disability or
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Retirement, the shares of Restricted Stock that are not vested on the date of such termination shall be
forfeited immediately upon such termination without any payment to the Participant.
(d) Change in Control. In the event of a Change in Control of the Company, the shares
of Restricted Stock that are not vested will vest according to the greater of (i) 50% of the shares
granted or (ii) the Company’s Total Shareholder Return as compared to the Total Shareholder Returns
of the Peer Groups and determined in accordance with Section 1, with the Performance Period ending
on the date of the Change in Control. If prior to a Change in Control occurring during the
Performance Period, a Participant ceases to be an Employee due to death, Disability or Retirement,
the Participant shall be eligible to receive a cash payment under this Section 2(d) in an amount
determined by multiplying the total number of shares of Restricted Stock (prior to forfeiture
pursuant to Section 2(b) above) by a fraction, the numerator of which is equal to the number of
days of the Performance Period that the Participant was an Employee, and the denominator of which
is the number of days in the Performance Period, multiplied by the closing price of a share of
Company Common Stock on the date of the Change in Control, or if the Company ceases to be a
publicly traded company as a result of the Change in Control, the amount of the consideration paid
for each share of outstanding Common Stock of the Company in connection with the Change in Control.
Any cash payment shall be paid by the Company or its successor within thirty (30) days following
the date of the Change in Control. If a cash payment is made to the Participant pursuant to this
Section 2(d), the Participant shall not receive a cash payment pursuant to Section 2(b).
(e) Section 409A Compliance. Notwithstanding any provision to the contrary in this
Agreement, with respect to a Participant who ceases to be an Employee prior to the end of the
Performance Period on account of either Disability or Retirement, and thereafter becomes entitled
to a payment under Sections 2(b) or 2(d) of this Exhibit A, if such Participant was a “specified
employee” within the meaning of Section 409A(a)(2)(B)(i) of the Code as of the date of the
termination of such Participant’s employment, then any cash amounts payable under Section 2(b) or
2(d) shall be paid instead to the Participant on the later of (x) the date on which a cash payment,
if any, would otherwise be paid to the Participant pursuant to the terms of Section 2(b) or 2(d),
and (y) the date which is six months following the Participant’s date of termination, and not
before. Furthermore, notwithstanding any provision to the contrary in this Agreement, with respect
to a Participant who, prior to the end of the Performance Period, ceases to be an Employee due to
death, Disability or Retirement, and thereafter a Change in Control occurs, the Participant shall
not be eligible to receive any cash payment pursuant to Section 2(d) if the Change in Control does
not also qualify as a change in the ownership or effective control of a corporation or a change in
the ownership of a substantial portion of the assets of a corporation for purposes of Section
409A(a)(2)(A)(v) of the Code and the applicable Treasury regulations under that section. If,
pursuant to the preceding sentence, a Change in Control occurs but fails to qualify as a Qualifying
Change of Control, the terms of this Agreement shall remain in effect after the date of such Change
in Control, and the Participant shall remain eligible for a cash payment at the end of the
Performance Period pursuant to Section 2(b) or upon a subsequent Change in Control that also
qualifies as a Qualifying Change of Control pursuant to Section 2(d), in each case subject to and
in accordance with the terms and conditions of this Agreement.
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EXHIBIT B
CUSTOM REAL ESTATE GROUP
| Name | Ticker Symbol | |
AMB Property Corporation
|
AMB | |
Developers Diversified Realty Corporation
|
DDR | |
Duke Realty Corporation
|
DRE | |
Highwoods Properties, Inc.
|
HIW | |
Xxxxx Xxxx LaSalle Incorporated
|
JLL | |
Kimco Realty Corporation
|
XXX | |
The Macerich Company
|
MAC | |
MDC Holdings Inc.
|
MDC | |
NVR, Inc.
|
NVR | |
Plum Creek Timber Company, Inc.
|
PCL | |
Regency Centers Corporation
|
REG | |
Rayonier Inc.
|
RYN | |
Toll Brothers Inc.
|
TOL | |
WP Xxxxx & Co. LLC
|
WPC |
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