Exhibit 10.16
RESTRICTED STOCK UNIT AWARD AGREEMENT
This Restricted Stock Unit Award
(“ Award ”) is awarded on February ___, 2008
(“ Date of Grant ”), by Motorola, Inc. (the
“ Company ” or “ Motorola ”)
to Paul Liska (the “ Grantee ”).
WHEREAS, Grantee is receiving the
Award under the Motorola Omnibus Incentive Plan of 2006, as amended
(the “ 2006 Incentive Plan ” or the “
Plan ”);
WHEREAS, Grantee is the Executive
Vice President and Chief Financial Officer of Motorola;
WHEREAS, the Award is a grant of
Motorola restricted stock units authorized by the Board of
Directors and the Board’s Compensation and Leadership
Committee (the “ Compensation Committee ”);
and
WHEREAS, it is a condition to Grantee
receiving the Award that Grantee electronically accept the terms,
conditions and Restrictions applicable to the restricted stock
units as set forth in this agreement.
NOW, THEREFORE, in consideration of
the mutual covenants contained herein and for other good and
valuable consideration, the Company hereby awards restricted stock
units to Grantee on the following terms and conditions:
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Award of Restricted Stock Units . The Company hereby
grants to Grantee a total of 131,000 Motorola restricted stock
units (the “ Units ”) subject to the terms and
conditions set forth below. All Awards shall be paid in whole
shares of Motorola Common Stock (“ Common Stock
”); no fractional shares shall be credited or delivered to
Grantee. |
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Restrictions . The Units are being awarded to Grantee
subject to the transfer and forfeiture conditions set forth below
(the “ Restrictions ”) which shall lapse, if at
all, as described in Section 3 below. For purposes of this
Award, the term Units includes any additional Units granted to the
Grantee with respect to Units, still subject to the
Restrictions. |
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a. |
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Grantee may not directly or indirectly, by operation of law or
otherwise, voluntarily or involuntarily, sell, assign, pledge,
encumber, charge or otherwise transfer any of the Units still
subject to Restrictions. The Units shall be forfeited if Grantee
violates or attempts to violate these transfer Restrictions.
Motorola shall have the right to assign this Agreement, which shall
not affect the validity or enforceability of this Agreement. This
Agreement shall inure to the benefit of assigns and successors of
Motorola. |
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b. |
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Any Units still subject to the Restrictions shall be
automatically forfeited upon the Grantee’s termination of
employment with Motorola or a Subsidiary for any reason other than
death, Total and Permanent Disability, or Involuntary Termination
due to (i) a Divestiture or (ii) for a reason other than
for Serious Misconduct. For purposes of this Agreement, a
“Subsidiary” is any corporation or other entity in
which a 50 percent or greater interest is held directly or
indirectly by Motorola and which is consolidated for financial
reporting purposes. Total and Permanent Disability is defined in
Section 3(a). |
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c. |
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If Grantee engages in any of the following conduct for any
reason, in addition to all remedies in law and/or equity available
to the Company or any Subsidiary, Grantee shall forfeit all
restricted stock units under the Award whose Restrictions |
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have not lapsed, and, for all restricted stock units under the
Award whose Restrictions have lapsed, Grantee shall immediately pay
to the Company the Fair Market Value (as defined in paragraph 7
below) of Motorola Common Stock (“ Common Stock
”) on the date(s) such Restrictions lapsed, without regard to
any taxes that may have been deducted from such amount. For
purposes of subparagraphs (i) through and including
(v) below, “Company” or “Motorola”
shall mean Motorola, Inc. and/or any of its Subsidiaries: |
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(i) |
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During the course of Grantee’s employment and thereafter,
Grantee uses or discloses, except on behalf of the Company and
pursuant to the Company’s directions, any Company
Confidential Information. “Confidential Information”
means information concerning the Company and its business that is
not generally known outside the Company, and includes
(A) trade secrets; (B) intellectual property;
(C) the Company’s methods of operation and Company
processes; (D) information regarding the Company’s
present and/or future products, developments, processes and
systems, including invention disclosures and patent applications;
(E) information on customers or potential customers, including
customers’ names, sales records, prices, and other terms of
sales and Company cost information; (F) Company personnel
data; (G) Company business plans, marketing plans, financial
data and projections; and (H) information received in
confidence by the Company from third parties. Information regarding
products, services or technological innovations in development, in
test marketing or being marketed or promoted in a discrete
geographic region, which information the Company or one of its
affiliates is considering for broader use, shall be deemed
generally known until such broader use is actually commercially
implemented; and/or |
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(ii) |
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During Grantee’s employment and for a period of two years
following the termination of Grantee’s employment for any
reason, Grantee hires, recruits, solicits or induces, or causes,
allows, permits or aids others to hire, recruit, solicit or induce,
or to communicate in support of those activities, any employee of
the Company who possesses Confidential Information of the Company
to terminate his/her employment with the Company and/or to seek
employment with Grantee’s new or prospective employer, or any
other company; and/or |
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(iii) |
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During Grantee’s employment and for a period of two years
following the termination of Grantee’s employment for any
reason, Grantee engages in activities which are entirely or in part
the same as or similar to activities in which Grantee engaged at
any time during the two years preceding termination of
Grantee’s employment with the Company, for any person,
company or entity in connection with products, services or
technological developments (existing or planned) that are entirely
or in part the same as, similar to, or competitive with, any
products, services or technological developments (existing or
planned) on which Grantee worked at any time during the two years
preceding termination of Grantee’s |
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employment. This paragraph applies in countries in which
Grantee has physically been present performing work for the Company
at any time during the two years preceding termination of
Grantee’s employment; and/or |
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(iv) |
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During Grantee’s employment and for a period of two years
following the termination of Grantee’s employment for any
reason, Grantee, directly or indirectly, on behalf of Grantee or
any other person, company or entity, solicits or participates in
soliciting, products or services competitive with or similar to
products or services offered by, manufactured by, designed by or
distributed by the Company to any person, company or entity which
was a customer or potential customer for such products or services
and with which Grantee had direct or indirect contact regarding
those products or services or about which Grantee learned
confidential information at any time during the two years prior to
Grantee’s termination of employment with the Company;
and/or |
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(v) |
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During Grantee’s employment and for a period of two years
following the termination of Grantee’s employment for any
reason, Grantee, directly or indirectly, in any capacity, provides
products or services competitive with or similar to products or
services offered by the Company to any person, company or entity
which was a customer for such products or services and with which
customer Grantee had direct or indirect contact regarding those
products or services or about which customer Grantee learned
Confidential Information at any time during the two years prior to
Grantee’s termination of employment with the Company. |
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d. |
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The Units are subject to the terms and conditions of the
Company’s Policy Regarding Recoupment of Incentive Payments
upon Financial Restatement (such policy, as it may be amended from
time to time, being the “ Recoupment Policy ”).
The Recoupment Policy provides for determinations by the
Company’s independent directors that, as a result of
intentional misconduct by Grantee, the Company’s financial
results were restated (a “ Policy Restatement
”). In the event of a Policy Restatement, the Company’s
independent directors may require, among other things
(a) cancellation of any of the Units that remain outstanding;
and/or (b) reimbursement of any gains in respect of the Units,
if and to the extent the conditions set forth in the Recoupment
Policy apply. Any determinations made by the independent directors
in accordance with the Recoupment Policy shall be binding upon
Grantee. The Recoupment Policy is in addition to any other remedies
which may be otherwise available at law, in equity or under
contract, to the Company. |
The Company will not be obligated to
pay Grantee any consideration whatsoever for forfeited Units.
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Lapse of Restrictions . |
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a. |
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The Restrictions applicable to the Units shall lapse, as long
as the Units have not been forfeited as described in Section 2
above, as follows: |
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| Vesting |
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| Percentage |
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Date |
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50 |
% |
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On the 30-month anniversary of the
Date of Grant if Grantee is continuously employed by the Company
through that date |
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50 |
% |
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On the 60-month anniversary of the
Date of Grant if Grantee is c |
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