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2000 Stock Option Plan

Stock Option Agreement

2000 Stock Option Plan | Document Parties: JOHNSON CONTROLS INC You are currently viewing:
This Stock Option Agreement involves

JOHNSON CONTROLS INC

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Title: 2000 Stock Option Plan
Governing Law: Wisconsin     Date: 12/5/2006
Industry: Auto and Truck Parts    

2000 Stock Option Plan, Parties: johnson controls inc
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Exhibit 10.CC

JOHNSON CONTROLS, INC.
OPTION AWARD

 

 

 

Name: Employee Name

 

Number of Options: ####

 

 

 

Grant Date: mm/dd/yyyy

 

Expiration Date: mm/dd/yyyy

 

 

 

Exercisable Date: mm/dd/yyyy

 

Option Exercise Price: $$.$$

2006 Stock Option Grant — Terms for Nonqualified Stock Options and Stock Appreciation Rights

Johnson Controls, Inc., a Wisconsin corporation with its principal office in Milwaukee, Wisconsin, (the “Company”) has adopted the 2000 Stock Option Plan (the “Plan”) to permit options to purchase shares of the Company’s common stock (“Stock”) to be granted to certain key employees of the Company or any Subsidiary, as defined in Section 425(f) of the Internal Revenue Code of 1986, as amended (“Subsidiary”). The individual (the “Optionee”) is a key employee of the Company or a Subsidiary, and the Company desires the Optionee to remain in such employ by providing the Optionee with a means to acquire or to increase his/her proprietary interest in the Company’s success.

NOW, THEREFORE, in consideration of the premises and of the covenants and agreements herein set forth, the parties hereby mutually covenant and agree as follows:

1. Subject to the terms and conditions of the Plan, a copy of which has been made available to the Optionee and made a part hereof, and this Agreement, the Company grants to the Optionee:

     a) In the case of a Nonqualified Stock Option, right to purchase from the Company all or any part of an aggregate number of shares of Stock. (Hereinafter such shares of Stock are referred to as the “Optioned Shares” and the option to purchase the Optioned Shares is referred to as the “Option”). The Option is intended to constitute a “nonqualified stock option” or an option for “stock appreciation rights.”

     b) The purchase price payable upon exercise of the Nonqualified Stock Option shall be the option exercise price per share indicated in the Optionee notification, subject to adjustment as described in the terms of the Plan.

     c) An Option granted for Stock Appreciation Rights entitles the Optionee to receive the economic value of such stock appreciation rights determined in the manner prescribed in the Plan document, Paragraph 16, subparagraph (b), and in the form prescribed in Paragraph 16, subparagraph (c).

2. Subject to the terms and conditions of the Plan and this Agreement, the Option may be exercised by the Optionee while in the employ of the Company or any Subsidiary, in whole or in part in increments of 100 shares or more, from time to time, subject to the vesting dates and expiration date. The vesting schedule of the option is as follows:

     (a) Fifty Percent (50%) of the Option shall vest on the two-year anniversary date of the Grant Date.

     (b) Fifty Percent (50%) of the Option shall vest on the three-year anniversary date of the Grant Date.

     The Option shall expire ten years from the Option Grant Date.

3. The Option may be exercised only by written notice, delivered, faxed or mailed to the Shareholder Services Department of the Company in Milwaukee, Wisconsin, specifying the number of Optioned Shares being purchased. Such notice shall be accompanied by payment of the entire option price of the Optioned Shares being purchased: (i) in cash or its equivalent; (ii) by tendering previously acquired shares of Stock valued at their fair market value at the time of

1


 

exercise; or (iii) by any combination of (i) and (ii). For purposes of this paragraph, fair market value shall be determined in the same manner as the fair market value of the Stock on the Grant Date was determined pursuant to the Plan document.

     An Optionee selected by the Compensation Committee to participate in the Deferral Plan may defer receipt of shares of Common Stock deliverable upon exercise by making a deferral election as set forth in the Johnson Controls Stock Option Deferral Policies and Procedures.

4. (a) It shall be a condition of the obligation of the Company to issue or transfer shares of Stock upon exercise of the Option, and that the Optionee pay to the Company upon its demand, such amount as may be requested by the Company for the purpose of satisfying its liability to withhold federal, state or local income or other taxes incurred by reason of the exercise of the Option. If the amount requested is not paid, the Company may refuse to issue or transfer shares of Stock upon exercise of the Option.

     (b) The Optionee shall be permitted to satisfy the Company’s withholding tax requirements by electing (the “Election”) to have the Company withhold shares of Stock otherwise issuable to the Optionee or to deliver to the Company shares of Stock having a fair market value on the date income is recognized pursuant to the exercise of the Option (the “Tax Date”) equal to the minimum amount required to be withheld by the Optionee. If the number of shares of Stock determined pursuant to the preceding sentence shall include a fractional share, the number of shares withheld or delivered shall be reduced to the next lower whole number and the Optionee shall deliver to the Company cash in lieu of such fractional share, or otherwise make arrangements satisfactory to the Company for payment of such amount.

 

i.

 

The Election must be received by the Shareholder Services Department of the Company, at its principal office, prior to the Optionee’s Tax Date.

 

 

 

 

 

ii.

 

The Election shall be irrevocable, and shall be subject to disapproval, in whole or in part, by the Committee. The Election shall be made in writing and shall be made according to such rules and regulations and in such form as the Committee shall determine.

5. (a) In the event a Participant’


 
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