Exhibit 10.2
CHASE
CORPORATION
Long Term Incentive
Plan
Award Design and Grant
Process
As of September 1, 2008
Key Provisions
·
Long term incentive: performance
shares (Restricted Stock)
·
Performance measure / target:
Earnings Before Tax
(EBT): average of the actual results from the most recent three
years and the current year budget, each year weighted
equally
·
Performance measurement period:
September 1 st of the fiscal year through August
31 st of the same fiscal year (twelve month
period)
·
Vesting: 2 years after the end of
the performance measurement period (total of three
years)
·
Grant date: first day of
measurement period
·
Stock price for award: closing
price on the last trading day prior to the grant date (generally
August 31 st , or the last business day in the fiscal
year ending prior to the performance measurement period)
·
Threshold: the point at which an
award is earned (50% of target). Between threshold and target
the award increases on a pro-rata basis.
·
Stretch area: performance in excess
of target awarded at a higher rate (150% for 120%
achievement)
·
Beyond Stretch: Award increases pro-rata,
with no cap, at an incremental rate of one for one beyond the
Stretch award if actual results are greater than 150% of
target.
·
Termination provisions
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Termination Event
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Vesting
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Payment in Shares
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Retirement
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Pro-rated
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Paid as scheduled
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Voluntary
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All shares forfeit
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No payment
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Without cause
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Pro-rated
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Paid as scheduled
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With cause
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All
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