RESTRICTED STOCK UNIT AGREEMENT UNDER THE MAC-GRAY CORPORATION
Exhibit 10.2
RESTRICTED STOCK UNIT AGREEMENT
UNDER THE XXX-XXXX CORPORATION
2009 STOCK OPTION AND INCENTIVE PLAN
Name of Grantee:
No. of Restricted Stock Units Granted:
Grant Date:
Final Acceptance Date:
Pursuant to the Xxx-Xxxx Corporation 2009 Stock Option and Incentive Plan as amended through the date hereof (the “Plan”), Xxx-Xxxx Corporation (the “Company”) hereby grants a deferred stock award consisting of the number of Restricted Stock Units listed above (an “Award”) to the Grantee named above. Each Restricted Stock Unit shall relate to one share of Common Stock, par value $0.01 per share (the “Stock”) of the Company specified above, subject to the restrictions and conditions set forth herein and in the Plan.
1. Acceptance of Award. The Grantee shall have no rights with respect to this Award unless he or she shall have accepted this Award prior to the close of business on the Final Acceptance Date specified above by signing and delivering to the Company a copy of this Award Agreement. Any consideration due to the Company on the issuance of the Award has been deemed to be satisfied by past services rendered by the Grantee to the Company.
2. Restrictions on Transfer of Award. Neither this Award nor any underlying Restricted Stock Units may be sold, transferred, pledged, assigned or otherwise encumbered or disposed of by the Grantee until (a) such Restricted Stock Units have vested as provided in Section 3 of this Agreement and (b) shares of Stock have been issued to the Grantee in respect of such vested Restricted Stock Units.
3. Vesting of Restricted Stock Units. The Restricted Stock Units shall vest in accordance with the schedule set forth below, provided in each case that the Grantee is then, and since the Grant Date has continuously been, serving as a Director of the Company.
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Incremental (Aggregate) |
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Vesting Date |
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(33 1/3 %) |
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(66 2/3 %) |
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(100 %) |
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The Administrator may at any time accelerate the vesting schedule specified in this Section 3. Notwithstanding the foregoing, the Grantee shall become vested in all unvested Restricted Stock Units upon (a) a Sale Event and (b) Grantee’s retirement or other separation from service as a Director of the Company, other than a separation from service at any time following a resolution by the Company’s Board of Directors that the Grantee (i) committed a material breach of any agreement between the Grantee and the Company; (ii) has been convicted of or entered a plea of nolo contendere to a felony or a crime involving moral turpitude; or (iii)
committed any material misconduct or willful and deliberate non-performance (other than by reason of disability) of the Grantee’s duties to the Company. If the Grantee’s service as a Director of the Company is terminated with cause, any Restricted Stock Units that have not vested as of such date under this Section 3 shall automatically and without notice terminate, be forfeited and be and become null and void, and neither the Grantee nor any of his or her successors, heirs, assigns, or personal representatives will thereafter have any further rights or interests in such unvested Restricted Stock Units.
4. Dividend Equivalents.
(a) If on any date the Company shall pay any dividend on shares of Stock of the Company, the number of Restricted Stock Units credited to the Grantee shall, as of such date, be increased by an amount determined by the following formula:
W = (X multiplied by Y) divided by Z, where:
W = the number of additional Restricted Stock Units to be credited to the Grantee on such dividend payment date;
X = the aggregate number of Restricted Stock Units (whether vested or unvested) credited to the Grantee as of the record date of the dividend;
Y = the cash dividend per share amount; and
Z = the Fair Market Value per share of Stock (as determined under the Plan) on the dividend payment date.
(b) In the case of a dividend paid on Stock in the form of Stock, including without limitation a distribution of Stock by reason of a stock dividend, stock split or otherwise, the number of Restricted Stock Units credited to the Grantee shall be increased by a number equal to the product of (i) the aggregate number of Restricted Stock Units that have been awarded to the Grantee through the related dividend record date, and (ii) the number of shares of Stock (including any fraction thereof) payable as dividend on one share of Stock. Any additional Restricted Stock Units shall be subject to the vesting and restrictions of this Agreement in the same manner and for so long as the Restricted Stock Units granted pursuant to this Agreement to which they relate remain subject to such vesting and restrictions, and shall be promptly forfeited to the Company if and when such Restricted Stock Units are so forfeited.
5. Receipt of Shares of Stock.
(a) As soon as practicable following each Vesting Date, the Company shall issue to the Grantee the number of shares of Stock equal to the aggregate number of Restricted Stock Units credited to the Grantee that have vested pursuant to Section 3 of this Agreement on such date and the Grantee shall thereafter have all the rights of a stockholder of the Company with respect to such shares, including voting and dividend rights, and such shares of Stock shall not be restricted by the provisions hereof.
(b) Upon a Sale Event, the Company shall issue to the Grantee the number of shares of Stock equal to the aggregate number of Restricted Stock Units credited to the Grantee
on such date in full satisfaction of such Restricted Stock Units; provided, however, that in the event the Company is involved in a transaction in which shares of Stock will be exchanged for cash or other consideration, the Grantee shall receive cash or other consideration equal in value to the aggregate number of Restricted Stock Units credited to the Grantee on the date of the Sale Event.
6. Incorporation of Plan. Notwithstanding anything herein to the contrary, this Agreement shall be subject to and governed by all the terms and conditions of the Plan, including the powers of the Administrator set forth in Section 2(b) of the Plan. Capitalized terms in this Agreement shall have the meaning specified in the Plan, unless a different meaning is specified herein.
7. Tax Withholding. The Grantee shall, not later than the date as of which the receipt of this Award becomes a taxable event for Federal income tax purposes, pay to the Company or make arrangements satisfactory to the Administrator for payment of any Federal, state, and local taxes required by law to be withheld on account of such taxable event. The Grantee may elect to have such minimum tax withholding obligation satisfied, in whole or in part, by authorizing the Company to withhold from shares of Stock to be issued a number of shares of Stock with an aggregate Fair Market Value that would satisfy the withholding amount due.
8. Continuation of Service as Director. This Agreement shall not confer upon the Grantee any right to continue service with the Company, nor shall this Agreement interfere in any way with the Company’s right to terminate the Grantee’s service at any time.
9. Notices. Notices hereunder shall be mailed or delivered to the Company at its principal place of business and shall be mailed or delivered to the Grantee at the address on file with the Company or, in either case, at such other address as one party may subsequently furnish to the other party in writing.
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XXX-XXXX CORPORATION |
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By: |
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Name: Xxxxxxx X. XxxXxxxxx, Xx. |
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Title: Chief Executive Officer |
