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SANMINA-SCI CORPORATION DEFERRED COMPENSATION PLAN FOR OUTSIDE DIRECTORS

Employee Benefits Plan Agreement

SANMINA-SCI CORPORATION

 

DEFERRED COMPENSATION PLAN

 

FOR OUTSIDE DIRECTORS | Document Parties: SANMINA-SCI CORPORATION You are currently viewing:
This Employee Benefits Plan Agreement involves

SANMINA-SCI CORPORATION

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Title: SANMINA-SCI CORPORATION DEFERRED COMPENSATION PLAN FOR OUTSIDE DIRECTORS
Governing Law: California     Date: 8/4/2008
Industry: Electronic Instr. and Controls     Sector: Technology

SANMINA-SCI CORPORATION

 

DEFERRED COMPENSATION PLAN

 

FOR OUTSIDE DIRECTORS, Parties: sanmina-sci corporation
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Exhibit 10.75

 

SANMINA-SCI CORPORATION

 

DEFERRED COMPENSATION PLAN

 

FOR OUTSIDE DIRECTORS

 

 

(Originally effective June 1, 2002)

 

Amended and restated effective January 1, 2009

 



 

TABLE OF CONTENTS

 

ARTICLE I

PURPOSE

 

1

 

 

 

 

ARTICLE II

DEFINITIONS

 

1

2.1

Account

 

1

2.2

Beneficiary

 

1

2.3

Board

 

1

2.4

Change of Control

 

1

2.5

Code

 

2

2.6

Code section 409A

 

2

2.7

Committee

 

2

2.8

Compensation Committee

 

2

2.9

Common Stock

 

2

2.10

Company

 

2

2.11

Compensation

 

2

2.12

Deferral Commitment

 

2

2.13

Deferral Period

 

2

2.14

Deferred Compensation

 

2

2.15

Eligible Director

 

2

2.16

Market Value

 

2

2.17

Participant

 

2

2.18

Participation Agreement

 

3

2.19

Plan Year

 

3

2.20

Share Units

 

3

2.21

Separation from Service

 

3

 

 

 

 

ARTICLE III

DEFERRAL COMMITMENTS

 

3

3.1

Participation

 

3

3.2

Initial Year of Participation

 

3

3.3

Elective Deferrals

 

3

3.4

Limitations on Deferral Commitments

 

3

 

 

 

 

 

 

i



 

ARTICLE IV

DEFERRED COMPENSATION ACCOUNTS

 

4

4.1

Accounts

 

4

4.2

Deferred Compensation

 

4

4.3

Share Units

 

4

4.4

Dividends

 

4

4.5

Determination of Accounts

 

4

4.6

Vesting of Accounts

 

4

4.7

Statement of Accounts

 

4

4.8

Adjustment of Share Units

 

5

 

 

 

 

ARTICLE V

PLAN BENEFITS

 

5

5.1

After Separation from Service

 

5

5.2

Change of Control

 

5

5.3

Tax Withholding

 

5

5.4

Payment to Guardian

 

5

 

 

 

 

ARTICLE VI

BENEFICIARY DESIGNATION

 

6

6.1

Beneficiary Designation

 

6

6.2

Changing Beneficiary

 

6

6.3

Community Property

 

6

6.4

No Beneficiary Designation

 

6

 

 

 

 

ARTICLE VII

ADMINISTRATION

 

6

7.1

Committee

 

6

7.2

Agents and Delegation

 

7

7.3

Binding Effect of Decisions

 

7

7.4

Indemnification of Committee

 

7

 

 

 

 

ARTICLE VIII

AMENDMENT AND TERMINATION OF PLAN

 

7

8.1

Amendment

 

7

8.2

Right to Terminate Plan

 

7

 

 

 

 

ARTICLE IX

MISCELLANEOUS

 

8

9.1

Unfunded Plan

 

8

9.2

Trust Fund

 

8

9.3

Nonalienability

 

8

 

 

 

 

 

 

ii



 

9.4

Governing Law

 

9

9.5

Validity

 

9

9.6

Notice

 

9

9.7

Successors

 

9

 

iii



 

SANMINA-SCI CORPORATION

 

DEFERRED COMPENSATION PLAN FOR OUTSIDE DIRECTORS

 

ARTICLE I

 

PURPOSE

 

Effective June 1, 2002 the Board of Directors of Sanmina-SCI Corporation (“Sanmina-SCI”) approved the establishment of the Sanmina-SCI Corporation Deferred Compensation Plan for Outside Directors (the “Plan”).  T he Plan is intended to provide eligible Sanmina-SCI Directors an opportunity to defer payment of all or part of the Compensation which is payable to them for acting as Directors of Sanmina-SCI.  Sanmina-SCI now approves the amendment and restatement of the Plan effective January 1, 2009.  T he Plan is intended to reflect the requirements of section 409A of the Internal Revenue Code and the regulations issues thereunder, and, in all respects, shall be administered and construed in accordance with such requirements.   Prior to 2009, the Plan was administered in accordance with Code section 409A.

 

ARTICLE II

 

DEFINITIONS

 

For purposes of this Plan, the following terms shall have the meanings indicated, unless the context clearly indicates otherwise:

 

2.1            Account .  “Account” means the account established for a Participant pursuant to Article IV. A Participant’s Account shall be utilized solely as a device for the determination and measurement of the amounts to be paid to the Participant pursuant to this Plan and shall not constitute or be treated as a trust fund of any kind.

 

2.2            Beneficiary .   “Beneficiary” means the person, persons or entity entitled under Article VI to receive any Plan benefits payable under Article V after a Participant’s death.

 

2.3            Board .  “Board” means the Board of Directors of Sanmina- SCI.

 

2.4            Change of Control .  “Change of Control” means:

 

(a)            A change in the effective control of the Company as defined under Treasury Regulations section 1.409A-3(i)(5)(vi)(A)(1) ; or,

 

(b)            A change in the ownership of the Company as defined under Code section 409A ; or,

 



 

(c)            A change in the ownership of a substantial portion of the Company’s assets as defined under Code section 409A .

 

2.5            Code .  “Code” means the Internal Revenue Code, as amended from time to time.

 

2.6            Code section 409A .  Code section 409A shall refer to, collectively, section 409A of the Code and the regulations and IRS guidance issued thereunder.

 

2.7            Committee .  “Committee” means the management committee established by or at the direction of the Board to adminster the Plan.

 

2.8            Compensation Committee “Compensation Committee” means the Compensation Committee of the Board.

 

2.9            Common Stock .  “Common Stock” means the shares of common stock of the Company.

 

2.10          Company .  “Company” means Sanmina-SCI Corporation and any successor thereto.

 

2.11          Compensation .  “Compensation” means all fees payable to such Director during the year, including the retainer for service as a member of the Board or any committees thereof and meeting fees. Fees payable in the form of Common Stock and any expense reimbursements for attending Board or committee meetings shall not be included in the definition of Compensation.

 

2.12          Deferral Commitment .  “Deferral Commitment” means an election to defer Compensation made by a Participant pursuant to Article III and submitted in a Participation Agreement.

 

2.13          Deferral Period .  “Deferral Period” means the period over which a Director has elected to defer his Compensation. Each calendar year shall be a separate Deferral Period.

 

2.14          Deferred Compensation .  “Deferred Compensation,” means the amount of Compensation that a Participant elects to defer pursuant to a Deferral Commitment.

 

2.15          Eligible Director .  “Eligible Director” means any individual who is a member of the Board and who is not an employee of the Company or any of its subsidiaries.  An individual shall become an Eligible Director only upon notification of his eligibility to participate and the material terms of participation.

 

2.16          Market Value .  “Market Value” means, with respect to one share of Common Stock on any date, the closing price for Common Stock listed in the composite tables in the “Wall Street Journal” for the applicable date.

 

2.17          Participant .  “Participant” means any Eligible Director who has made an election under Article III to defer any portion of his or her Compensation for any Plan Year.

 

2



 

2.18          Participation Agreement .  “Participation Agreement” means the Deferral Commitment agreement submitted by a Participant to the Committee pursuant to Article III.

 

2.19          Plan Year .  “Plan Year” means the calendar year.

 

2.20          Share Units .   “Share Units” means a unit of measurement equivalent to one share of Common Stock, with none of the attendant rights of a holder of such share, including, without limitation, the right to vote such share and the right to receive dividends thereon, except to the extent otherwise specifically provided herein.

 

2.21          Separation from Service .  “Separation from Service” shall have the meaning as set forth in Code section 409A.

 

ARTICLE III

 

DEFERRAL COMMITMENTS

 

3.1            Participation .  An Eligible Director may elect to participate in this Plan with respect to any Deferral Period by submitting a Participation Agreement to the Committee, prior to the date established by the Committee, in the calendar year immediately preceding the Deferral Period.

 

3.2            Initial Year of Participation .   In the event that an Eligible Director first becomes eligible to participate during a calendar year, a Participation Agreement must be submitted to the Committee no later than thirty (30) days following the date the Director becomes an Eligible Director.  Such Participation Agreement shall be effective only with regard to Compensation earned following the submission of the Participation Agreement to the Committee.

 

3.3            Elective Deferrals .  An Eligible Director’s Deferral Commitment may defer all or part of the Compensation payable to the Director during the Plan Year.  Once made, a Deferral Commitment shall be irrevocable for the Plan Year.

 

3.4            Limitations on Deferral Commitments .  The following limitations shall apply to Deferral Commitments:

 

(a)            Minimum.   The minimum Deferral Commitment shall be two thousand dollars ($2,000) per Deferral Period.

 

(b)            Maximum .   The maximum Deferral Commitment shall be one hundred percent (100%) of the Participant’s Compensation.

 

(c)            Changes in Minimum or Maximum .   The Committee may amend the Plan to change the minimum or maximum deferral amounts from time to time by giving

 

3



 

written notice to all Participants. No such change may affect a Deferral Commitment made prior to the Committee’s action.

 

ARTICLE IV

 

DEFERRED COMPENSATION ACCOUNTS

 

4.1            Accounts .  For record keeping purposes only, separate accounts shall be maintained on the Company’s books and records for each Participant to reflect the Participant’s interest under the Plan.

 

4.2            Deferred Compensation .  The amount of Compensation deferred by each Participant shall be credited to his or her Account as of the date the Deferred Compensation would otherwise have been payable.  Any withholding of taxes or other amounts which is required by state, federal or local law with respect to Deferred Compensation shall be withheld from the Participant’s non-deferred Compensation to the maximum extent possible with any excess reducing the amount deferred.

 

4.3            Share Units .  The amounts credited to a Participant’s Account shall be converted into Share Units. The number of Share Units shall be determined


 
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