ST PAUL TRAVELERS COMPANIES INC
MATERIAL CONTRACTS
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<TYPE>EX-10.2
<SEQUENCE>3
<FILENAME>a05-17997_1ex10d2.htm
<DESCRIPTION>MATERIAL CONTRACTS
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<p align="right" style="color:windowtext;margin:0in 0in .0001pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit 10.2</font></b></p>

<p style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">&nbsp;</font></b></p>

<p style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">ST. PAUL TRAVELERS</font></b></p>

<p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PERFORMANCE SHARE AWARD NOTIFICATION AND AGREEMENT</font></b></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>

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  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Participant:</font></b></p>
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  <td width="49%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:49.34%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Grant Date:</font></b></p>
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  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Target Number of Performance Shares:</font></b></p>
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  <td width="20%" valign="top" style="padding:0in 0in 0in 0in;width:20.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
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  <td width="79%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:79.96%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Performance Period: January 1, 2006 to December
  31, 2008</font></b></p>
  </td>
  <td width="20%" valign="top" style="padding:0in 0in 0in 0in;width:20.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
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<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">1.</font></b> <b><font style="font-weight:bold;">Grant of
Performance Shares.</font></b>&#160; This
performance share award is granted pursuant to The St. Paul Travelers
Companies, Inc. 2004 Stock Incentive Plan (the &#147;Plan&#148;), by The St. Paul
Travelers Companies, Inc. (the &#147;Company&#148;) to you, an employee (the &#147;Participant&#148;).
The Company hereby grants to the Participant an award for the target number of
Performance Shares set forth above (the &#147;Award&#148;), pursuant to the Plan, as it
may be amended from time to time, and subject to the terms, conditions, and
restrictions set forth herein.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">2.
Terms and Conditions</font></b>. The terms, conditions, and restrictions applicable to the Award are
specified in this award notification and agreement, the Plan, the prospectus
dated [January 1, 2006] (titled &#147;St. Paul Travelers Equity Awards&#148;), and any
applicable prospectus supplement (together, the &#147;Prospectus&#148;).&#160; The terms, conditions and restrictions in the
Prospectus include, but are not limited to, provisions relating to amendment,
vesting, cancellation, and settlement, all of which are hereby incorporated by
reference into this grant notification and agreement.&#160; The terms, conditions and restrictions in
this award notification and agreement, the Prospectus, and the Plan constitute
the Award agreement between the Participant and the Company (the &#147;Agreement&#148;).
By accepting this Award, the Participant acknowledges receipt of the Prospectus
and that he or she has read and understands the Prospectus.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Participant understands that this Award and all other incentive
awards are entirely discretionary and that no right to receive an award exists
absent a prior written agreement with the Company to the contrary. The
Participant also understands that the value that may be realized, if any, from
the Award is contingent, and depends on the future financial performance of the
Company, among other factors.&#160; The
Participant further confirms his or her understanding that the Award is
intended to promote employee retention and stock ownership and to align
employees&#146; interests with those of shareholders, is subject to performance
conditions and will be canceled if the performance conditions are not
satisfied.&#160; Thus, Participant understands
that (a) any monetary value assigned to the Award in any communication
regarding the Award is contingent, hypothetical, or for illustrative purposes
only, and does not express or imply any promise or intent by the Company to
deliver, directly or indirectly, any certain or determinable cash value to the
Participant; (b) receipt of this Award or any incentive award in the past is
neither an indication nor a guarantee that an incentive award of any type or
amount will be made in the future, and that absent a written agreement to the
contrary, the Company is free to change its practices and policies regarding
incentive awards at any time; and (c) performance may be subject to confirmation
and final determination by the Company&#146;s Board of Directors or a Committee of
the Board that the performance conditions have been satisfied.&#160; The Participant shall have no rights as a
stockholder of the Company with respect to any shares covered by this Award
unless and until the Award is earned and settled in shares of Common Stock.</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">3.
Performance Period.</font></b>&#160; For purposes of this Award, the
Performance Period shall be defined as the three-year period commencing January
1, 2006 and ending December 31, 2008.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

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<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">4.</font></b> <b><font style="font-weight:bold;">Vesting.</font></b>
The Participant&#146;s right to the Performance Shares vests on the last day of the
Performance Period if the Participant remains continuously employed by the
Company or one of its subsidiaries on such day.&#160;
If the Participant&#146;s employment with the Company and its subsidiaries
terminates during the Performance Period, the Participant&#146;s rights to the
Performance Shares will be determined in accordance with Exhibit A.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">5.</font></b> <b><font style="font-weight:bold;">Settlement
of Award.</font></b>&#160; The number of
Performance Shares earned by the Participant (which shall include any
additional Performance Shares credited to the Participant&#146;s account pursuant to
Section 6) shall be calculated based on the Performance Earnout Schedule table
set forth in Exhibit B.&#160; The Company
shall deliver to the Participant, subject to any certification of satisfaction
of the performance goal as required by the Plan in order to comply with Section
162(m) of the Internal Revenue Code, a number of shares of Common Stock equal
to the number of vested and earned Performance Shares on the later of (a)
January 1 of the year following the end of the Performance Period or (b) as
soon as administratively practicable thereafter but no later than December 31
of the year following the end of the Performance Period.&#160; The number of shares of Common Stock
delivered to the Participant shall be reduced by a number of shares of Common
Stock having a Fair Market Value on the date of delivery equal to the tax
withholding obligation, unless the Plan administrator is notified in advance of
the Award settlement and the
Participant elects another method for tax withholding.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">6. Dividend
Equivalents.&#160; </font></b>The Participant shall be entitled
to receive additional Performance Shares with respect to any cash dividends
declared by the Company.&#160; The number of
additional Performance Shares shall be determined by multiplying the number of
Performance Shares credited to the Participant&#146;s account (which shall include
the target number of Performance Shares set forth above, plus any Performance
Shares credited in connection with dividend payments under this Section 6),
times the dollar amount of the cash dividend per share of Common Stock, and
then dividing by the Fair Market Value of the Common Stock as of the dividend
payment date.&#160; The Participant&#146;s right to
any Performance Shares credited to the Participant&#146;s account in connection with
dividends shall vest in the same manner described in Section 4.&#160; As described in Section 5, such additional
Performance Shares shall be included in the total number of Performance Shares
credited to the Participant&#146;s account for purposes of applying the Performance
Earnout Schedule.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">7. Consent to Electronic
Delivery.</font></b>
In lieu of receiving documents in paper format, the Participant 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,
prospectuses, prospectus supplements, grant or award notifications and
agreements, account statements, annual and quarterly reports, and all other
forms or communications) in connection with this and any other prior or future
incentive award or program made or offered by the Company or its predecessors
or successors. Electronic delivery of a document to the Participant may be via
a Company e-mail system or by reference to a location on a Company intranet or
internet site to which Participant has access.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">8. Administration. </font></b>In administering the Plan, or to
comply with applicable legal, regulatory, tax, or accounting requirements, it may
be necessary for the Company or the subsidiary employing the Participant to
transfer certain Participant data to the Company, its subsidiaries, outside
service providers, or governmental agencies.&#160;
By accepting the Award, the Participant consents, to the fullest extent
permitted by law, to the use and transfer, electronically or otherwise, of his
or her personal data to such entities for such purposes.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

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<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">9.
Entire Agreement; No Right to Employment.</font></b> The Agreement constitutes the entire
understanding between the parties hereto regarding the Award and supersedes all
previous written, oral, or implied understandings between the parties hereto
about the subject matter hereof.&#160; Nothing
contained herein, in the Plan, or in the Prospectus shall confer upon the
Participant any rights to continued employment or employment in any particular
position, at any specific rate of compensation, or for any particular period of
time.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">10.
Arbitration; Conflict.</font></b>&#160; Any disputes under this
Agreement shall be resolved by arbitration in accordance with the Company&#146;s
arbitration policies. In the event of a conflict between the Plan and this
award notification and agreement, or the terms, conditions, and restrictions of
the Award as specified in the Prospectus, the Plan shall control.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">11. Acceptance and
Agreement by Participant</font></b>. By clicking the button below, Participant accepts the Award and
agrees to be bound by the terms, conditions, and restrictions set forth in the
Prospectus, the Plan, this notification and agreement, and the Company&#146;s
policies, as in effect from time to time, relating to the Plan.</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

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<p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">EXHIBIT A</font></b></p>

<p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">To St. Paul Travelers Performance Share Award
Notification and Agreement</font></b></p>

<p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<h1 align="center" style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">When you leave the Company</font></b></h1>

<h1 align="center" style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">&nbsp;</font></b></h1>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">References to &#147;you&#148; or &#147;your&#148; are to the Participant</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If you terminate your
employment or if there&#146;s a break in your employment, your Award may be canceled
before the end of the Performance Period and your rights to vesting and
settlement of your Award may be affected.</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The provisions in the chart
below apply to Awards made under the Plan. Additional rules for vesting and
settlement of your Award apply in cases of termination if you satisfy certain
age and years of service requirements (&#147;<b><font style="font-weight:bold;">Retirement Rule</font></b>&#148;),
as set forth in &#147;Retirement Rule&#148; below.</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="39%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;font-weight:bold;">If you:</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.14%;">
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="58%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0in 0in 0in 0in;width:58.04%;">
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;font-weight:bold;">Here&#146;s what happens to Your Award:</font></b></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;border:none;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><i><u><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Resign,
  or retire (and do not meet the Retirement Rule)</font></u></i></b></p>
  </td>
  <td width="2%" valign="bottom" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;border:none;padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Your rights under the
  Award are cancelled and your right to the Performance Shares is forfeited.</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" style="padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" style="padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Become disabled (as
  defined under the Company&#146;s applicable long-term disability plan)</font></b></p>
  </td>
  <td width="2%" valign="bottom" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">You will be entitled to
  receive a payout equal to the number of shares of Common Stock you would have
  received, if any, if your employment had not terminated due to disability,
  multiplied by a fraction equal to the number of days worked in the Performance
  Period divided by the total number of days in the Performance Period. Any
  such payout will be made at the time of settlement of the Performance Shares
  after the end of the Performance Period.</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" style="padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" style="padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Take an approved
  personal leave of absence</font></b></p>
  </td>
  <td width="2%" valign="bottom" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Your rights under the
  Award continue when you are on such leave of absence for up to three months.
  Once your approved leave of absence exceeds three months, your rights under
  the Award are suspended until you return to work and remain actively employed
  for 30 calendar days, after which your rights under the Award will be
  restored retroactively. If you terminate employment during the leave for any
  reason, the applicable termination provisions will apply. If your personal
  leave of absence exceeds one year, your rights under the Award are cancelled
  and your right to the Performance Shares is forfeited.</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" style="padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" style="padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Are on an approved
  family leave, medical leave, dependent care leave, military leave, or other
  statutory leave of absence</font></b></p>
  </td>
  <td width="2%" valign="bottom" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Your rights under the
  Award continue when you are an such leave of absence.</font></p>
  </td>
 </tr>
</table>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<div style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">

<hr size="2" width="100%" noshade color="gray" align="left">

</font></div>

</div>
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<br clear="all" style="page-break-before:always;">


<div style="font-family:Times New Roman;">

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="39%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Die</font></b></p>
  </td>
  <td width="2%" valign="bottom" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Your estate will be
  entitled to receive a payout equal to the number of shares of Common Stock
  you would have received at the target level of performance (which is equal to
  the target number of Performance Shares set forth at the beginning of this
  Award), multiplied by a fraction equal to the number of days worked in the
  Performance Period divided by the total number of days in the Performance
  Period. Any such payout will be made as soon as administrative possible
  following your death.</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" style="padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" style="padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Are terminated
  involuntarily for gross misconduct or for cause</font></b></p>
  </td>
  <td width="2%" valign="bottom" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Your rights under the
  Award are cancelled and your right to the Performance Shares is forfeited.</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" style="padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" style="padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="39%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:39.82%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Are terminated
  involuntarily other than for gross misconduct or for cause (including under
  the Company&#146;s applicable separation pay plan or any successor or comparable
  arrangement)</font></b></p>
  </td>
  <td width="2%" valign="bottom" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="58%" valign="top" bgcolor="#CCEEFF" style="background:#CCEEFF;padding:0in 0in 0in 0in;width:58.04%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Your rights under the
  Award are cancelled and your right to the Performance Shares is forfeited.</font></p>
  </td>
 </tr>
</table>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<h2 style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Retirement Rule</font></b></h2>

<h2 style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">&nbsp;</font></b></h2>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If, as of your termination
date, you are at least (i) age 65, (ii) age 62 with one or more full years of
service, or (iii) age 55 with 10 or more full years of service, then you meet
the &#147;Retirement Rule.&#148;&#160; If you are
terminated under the Company&#146;s applicable separation pay plan or any successor
or comparable arrangement, if any, your termination date for purposes of
determining whether you qualify under the Retirement Rule is your last day of
active employment with the Company.</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Retirement Rule does not
apply if you were involuntarily terminated for gross misconduct or for
cause.&#160; If you retire and do not meet the
Retirement Rule, you will be considered to have resigned.</font></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">If
you:</font></b></p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" bgcolor="#CCEEFF" style="background:#CCEEFF;border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="22%" valign="top" style="padding:0in 0in 0in 0in;width:22.5%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Meet the Retirement Rule</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.14%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="75%" valign="top" style="padding:0in 0in 0in 0in;width:75.36%;">
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">You will be entitled to
  receive a payout a number of shares of Common Stock equal to the shares you
  would have received, if any, if your employment had not terminated due to
  retirement in accordance with the Retirement Rule, multiplied by a fraction
  equal to the number of days worked in the Performance Period divided by the
  total number of days in the Performance Period. Any such payout will be made
  at the time of settlement of the Performance Shares after the end of the
  Performance Period.</font></p>
  </td>
 </tr>
</table>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<h2 align="left" style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:left;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Notes to the
termination provisions</font></b></h2>

<p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt .25in;text-indent:-.25in;"><font size="3" face="Times New Roman" style="font-size:12.0pt;">&#149;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The Committee determines what
constitutes &#147;gross misconduct&#148; and &#147;cause.&#148;</p>

<p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>

<div style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">

<hr size="2" width="100%" noshade color="gray" align="left">

</font></div>

</div>
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