10-Q
Amended and Restated
AAM 2009 Long-Term Incentive Plan
Article 1.
Establishment, Purpose, and Duration
1.1
Establishment of the Plan . American Axle &
Manufacturing Holdings, Inc. (the “Company”), a
Delaware corporation, hereby establishes an incentive compensation
plan to be known as the “AAM 2009 Long-Term Incentive
Plan” (the “Plan”), as set forth in this
document. The Plan permits the payment of cash awards based upon
the achievement of predefined performance goals established by the
Committee.
The Plan shall become effective as of January 1,
2009 (the “Effective Date”) and shall remain in effect
as provided in Section 1.3 hereof.
1.2
Purpose of the Plan . The purposes of the Plan are to reward
Participants for the overall success of the Company; to provide
Participants with an incentive for excellence in individual
performance; to retain key senior employees; and to provide a
competitive and valuable long-term incentive program for
Participants.
1.3
Duration of the Plan . The Plan shall commence on the
Effective Date and shall remain in effect, subject to the right of
the Board to alter, amend, suspend, or terminate the Plan at any
time pursuant to Article 7 hereof.
Article 2.
Definitions
For purposes of the Plan, the capitalized words
shall have the meanings set forth below:
|
|
|
“Affiliate” means any Parent or Subsidiary and any person
that directly or indirectly through one or more intermediaries,
controls, is controlled by, or is under common control with, the
Company.
|
|
|
|
“Award” means a grant under the Plan of a cash incentive
opportunity to be earned by and paid to a Participant pursuant to
the terms of the Plan and Award Document.
|
|
|
|
“Award
Document” means an
agreement, certificate or other type or form of document or
documentation approved by the Committee that sets forth the terms
and conditions of an Award. An Award Document may be written,
electronic, or other media, may be limited to a notation on the
books and records of the Company and, unless the Committee requires
otherwise, need not be signed by a representative of the Company or
Participant.
|
|
|
|
“Award
Opportunity” or
“Award Opportunities” means the Award or Awards
that a Participant can earn based upon the achievement of a
pre-established performance goal or goals during a Performance
Period as specified in the Participant’s Award Document and
pursuant to the terms of the Plan.
|
|
|
|
“
Beneficial Owner ” or “ Beneficial
Ownership ” shall have the meaning ascribed to such terms
in Rule 13d-3 of the General Rules and Regulations under the
Exchange Act.
|
|
|
|
“
Board of Directors” or “Board”
means the Board of Directors of the Company.
|
|
|
|
“
Change in Control ” means any of the following
events:
|
|
|
|
Any Person,
excluding the Company and any subsidiary and any employee benefit
plan sponsored or maintained by the Company or any subsidiary
(including any trustee of such plan acting as trustee), directly or
indirectly, becomes the beneficial owner (as defined in
Rule 13d-3 under the Exchange Act), of securities of the
Company representing 30% or more of the combined voting power of
the Company’s then outstanding securities; or
|
|
|
The
consummation of any merger or other business combination involving
the Company, a sale of 51% or more of the Company’s assets,
liquidation or dissolution of the Company or a combination of the
foregoing transactions (the “ Transactions ”)
other than a Transaction immediately following which the
shareholders of the Company immediately prior to the Transaction
own, in the same proportion, at least 51% of the voting power,
directly or indirectly, of (A) the surviving corporation in
any such merger or other business combination; (B) the
purchaser of or successor to the Company’s assets;
(C) both the surviving corporation and the purchaser in the
event of any combination of Transactions; or (D) the parent
company owning 100% of such surviving corporation, purchaser or
both the surviving corporation and the purchaser, as the case may
be; or
|
|
|
|
Within any
12-month period, the persons who were directors immediately before
the beginning of such period (the “ Incumbent
Directors ”) cease (for any reason other than death) to
constitute at least a majority of the Board or the board of
directors of a successor to the Company. For this purpose, any
director who was not a director at the beginning of such period
shall be deemed to be an Incumbent Director if such director was
elected to the Board by, or on the recommendation of or with the
approval of, at least two thirds of the directors who then
qualified as Incumbent Directors, so long as such director was not
nominated by a person who commenced or threatened to commence an
election contest or proxy solicitation by or on behalf of a person
(other than the Board) or who has entered into an agreement to
effect a Change in Control or expressed an intention to cause such
a Change in Control.
|
|
|
|
“Code” means the Internal Revenue Code of 1986, as
amended from time to time.
|
|
|
|
“Committee” means the Compensation Committee of the Board,
which shall consist entirely of “non-employee
directors” for purposes of Rule 16b-3 of the Exchange Act and
“outside directors” for purposes of Section 162(m)
of the Code; provided, however, that a failure to meet such
requirements shall not invalidate awards granted or decisions made
by the Committee.
|
|
|
|
“Director” means any individual who is a member of the
Board of Directors of the Company.
|
|
|
|
“Disability” shall have the meaning ascribed to such term in
the governing long-tern disability plan pursuant to which the
Participant may be entitled to benefits, if any, or if there shall
be no such plan, as determined by the Committee in its absolute
discretion.
|
|
|
|
“Effective Date”
shall have the meaning ascribed to
such term in Section 1.1 hereof.
|
|
|
|
“Eligible Individuals”
means the individuals described in
Article 4 who are eligible for Awards under the Plan.
|
|
|
|
“Exchange Act”
means the Securities Exchange Act of
1934, as amended from time to time, or any successor act
thereto.
|
|
|
|
“Participant”
means Eligible Individual who has
been granted an Award under the Plan.
|
|
|
|
“Performance Period”
means the period established by the
Committee and set forth in the Award Document over which
performance goals are measured.
|
|
|
|
“
Person ” shall have the meaning ascribed to such term
in Section 3(a)(9) of the Exchange Act and used in Sections 13(d)
and 14(d) thereof, including a “group” as defined in
Section 13(d) thereof.
|
|
|
|
“Retirement” means, with respect to any Participant, such
Participant’s voluntary resignation at any time after
attaining age 65 or as such term is defined in the governing
retirement plan(s) to which the Participant may be entitled to
benefits, if any.
|
|
|
a corporation
or other entity with respect to which the Company, directly or
indirectly, has the power, whether through the ownership of voting
securities, by contract or otherwise, to elect at least a majority
of the members of the board of directors or analogous governing
body, or
|
|
|
any other
corporation or other entity in which the Company, directly or
indirectly, has an equity or similar interes
|
|